World Bank ; Skies darkening over global economy, growth slowing and risk rising.
The World Bank on 8 Jan projected moderation of global growth from 3 percent a year ago to 2.9 percent this year, as one of its best officials described the current situation of the world economy as "darkening of the skies".
Global growth is moderating and risks are rising. We believe that skies are darkening over the global economy," World Bank Prospects Group Director Ayhan Kose told PTI on the event of the arrival of the release of its Global Economic Prospects.
As per the report, global economic growth is projected to soften from a downwardly updated 3 percent in 2018 to 2.9 percent in 2019 amid rising downside risks to the outlook.
International trade and manufacturing activity have softened, exchange tensions stay lifted, and some extensive emerging markets have experienced substantial financial market pressures, it said. The World Bank said development among advanced economies is forecast to 2 percent this year. Slowing outer demand, rising borrowing costs, and persistent policy uncertainties are relied upon to burden on the outlook for the emerging market and developing economies. Development for this gathering is anticipated to hold steady at a weaker-than-expected 4.2 percent this year.
The January 2019 edition of the report "Darkening Skies", features how precarious the current economic juncture is. "In a nutshell, growth has weakened, trade tensions remain high, several developing economies have experienced financial stress, and risks to the outlook have increased," said by senior director Shantayanan Devarajan, Development Economics Vice Presidency, the World Bank Group. Seeing that the standpoint for the global economy has darkened, the report said global financing conditions have fixed, industrial production has moderated, trade tensions have intensified, and some vast developing business sector and creating experienced significant financial market stress.