The International Monetary Fund confirmed, in its report on global economic prospects, that the return of the global economy in the medium term to the pace of growth that prevailed before the Corona virus epidemic is unattainable, pointing out that 90% of advanced economies will witness a decline in growth this year, including the United States. In the United States, its growth is expected to continue to decline from 2.1% in 2022 to 1.6% in 2023 and 1.1% in 2024, while these estimates were slightly better than the fund’s expectations at the beginning of the year.
The IMF expected many economies to witness a slowdown in growth this year compared to the previous year, more than a year after the Russian-Ukrainian war, and the recent turmoil in the recent financial sector, with central banks continuing their tightening policy to confront inflation.
The Fund's expectations indicate a decrease in global output growth, estimated at 3.4% in 2022, to 2.8% in 2023, which constitutes a slight decline from the Fund's estimates issued last January.
As for the economies of developed countries, the fund expected growth to drop by half in 2023 to 1.3%, before it rose slightly to 1.4% in 2024.
For the economies of developing countries, the Fund stated that the economic prospects will be better, on average, compared to the economies of developed countries, but these prospects vary widely according to regions. As for the economy of China, for example, the second largest economy in the world, the fund expected its growth to be 5.2% in 2023, up from 3% in 2022. However, on average, the fund expected that the economies of emerging and developing countries would grow by 3.9% this year and 4.2%. In the year 2024.
Okaz (New York) @okaz_online