By using this site, you agree to the Privacy Policy and Terms of Use.
Accept
Magadh Today - Beyond HeadlinesMagadh Today - Beyond HeadlinesMagadh Today - Beyond Headlines
  • Home
  • India
  • Editorial
  • Opinion
  • Global
  • Technology
  • Science
  • Asia
  • Business
  • Finance
Reading: Global economy surprisingly resilient, but outlook ‘dark’: World Bank
Share
Notification Show More
Aa
Magadh Today - Beyond HeadlinesMagadh Today - Beyond Headlines
Aa
  • India
  • Economy
  • Politics
  • Business
  • Technology
  • Finance
  • Editorial
  • Opinion
  • Science
  • Home
  • Technology
  • Business
  • Economy
  • Politics
  • Science
  • Sitemap
Have an existing account? Sign In
Follow US
  • Advertise
© 2022 Foxiz News Network. Ruby Design Company. All Rights Reserved.
Magadh Today - Beyond Headlines > Latest News > Economy > Global economy surprisingly resilient, but outlook ‘dark’: World Bank
Economy

Global economy surprisingly resilient, but outlook ‘dark’: World Bank

Gulshan Kumar
Last updated: 2024/01/10 at 8:22 AM
By Gulshan Kumar 2 years ago
Share
SHARE

The World Bank sees India’s GDP growth edging up steadily from 6.3 percent in 2023-24 to 6.4 percent in 2024-25 and 6.5 percent in 2025-26

The World Bank’s GDP growth forecast for India for the current financial year is a full percentage point lower than the government’s first advance estimate of 7.3 percent.

The global economy, while “surprisingly resilient”, is set for a dark outlook, with growth expected to slow down for a third year in a row in 2024, the World Bank has said.

After a low-base fueled rebound to 6.2 percent in 2021, the World Bank estimates global growth cooled to 3.0 percent in 2022 and then to 2.6 percent in 2023. It now projects the world economic growth to slow down further to 2.4 percent in 2024, before edging up to 2.7 percent in 2025 — well below the 3.1 percent average growth seen in the 2010s.

“Yet beyond the next two years, the outlook is dark,” Indermit Gill, the bank’s chief economist, said in its Global Economic Prospects report, released on January 9.

“The end of 2024 will mark the halfway point of what was expected to be a transformative decade for development — when extreme poverty was to be extinguished, when major communicable diseases were to be eradicated, and when greenhouse-gas emissions were to be cut nearly in half,” Gill added.

“What looms instead is a wretched milestone: the weakest global growth performance of any half-decade since the 1990s, with people in one out of every four developing economies poorer than they were before the pandemic.”

According to the World Bank’s latest forecasts, most economies will likely grow at a slower rate in 2024 and 2025 than they did in the 10 years before the COVID-19 pandemic.

Gill warned that unless “corrective action” is taken, global growth will remain “well below potential” for the next half a decade.

WORLD BANK’S GROWTH FORECASTS

2023 2024 2025

World 2.6% 2.4% 2.7%

US 2.5% 1.6% 1.7%

Euro area 0.4% 0.7% 1.6%

Japan 1.8% 0.9% 0.8%

China 5.2% 4.5% 4.3%

Russia 2.6% 1.3% 0.9%

Brazil 3.1% 1.5% 2.2%

South Africa 0.7% 1.3% 1.5%

Meanwhile, the World Bank sees India’s growth edging up steadily from 6.3 percent in 2023-24 to 6.4 percent in 2024-25 and 6.5 percent in 2025-26. Although the forecasts, unchanged from before, for the next two years are broadly in line with that of Indian authorities — the Reserve Bank of India (RBI), for instance, sees GDP growth at 6.5 percent in 2024-25 — the estimate for 2023-24 is a full percentage point lower than the statistics ministry’s recently-released first advance estimate of 7.3 percent.

“India is anticipated to maintain the fastest growth rate among the world’s largest economies, but its post-pandemic recovery is expected to slow,” the World Bank’s report said.

“Investment is envisaged to decelerate marginally but remain robust, supported by higher public investment and improved corporate balance sheets, including in the banking sector. Private consumption growth is likely to taper off, as the post-pandemic pent-up demand diminishes and persistent high food price inflation is likely to constrain spending, particularly among low-income households. Meanwhile, government consumption is expected to grow slowly, in line with the central government’s efforts to lower the share of current spending,” it added.

The comments from the World Bank come weeks before the Union government presents the Interim Budget for FY2024-25 on February 1 ahead of the national elections, which are likely to be held in April-May this year.

 

You Might Also Like

Is India Ready for a Trade War with the USA? Not Yet, But It May Have To Be!

Explained:How Excessive Summer Heat Is Driving Inflation in India

India may consider new poverty line: Bibek Debroy

Modi Government Raises Paddy MSP to ₹2,300 per Quintal, Provides Major Relief to Farmers

Budget terminology explained

Share This Article
Facebook Twitter Whatsapp Whatsapp LinkedIn Reddit Telegram Copy Link Print
Previous Article Housing demand to touch 93 mn by 2036: Credai-Liases Foras Report
Next Article As Lakshadweep interest peaks, experts appeal for responsible tourism to protect its coral reefs
about us

Your daily dose of news and updates on politics, culture, and events around the globe. Stay informed, stay connected!

Quick Links

  • Home
  • Sitemap
  • Contact
  • About
  • Privacy Policy
  • Terms and Conditions
Magadh Today - Beyond HeadlinesMagadh Today - Beyond Headlines
© Magadh Today Network. All Rights Reserved.
Go to mobile version
adbanner
AdBlock Detected
Our site is an advertising supported site. Please whitelist to support our site.
Okay, I'll Whitelist
Welcome Back!

Sign in to your account

Lost your password?