Global Growth Forecast Reduced Up to 2.4% World Bank Report [ Current Affairs ]

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The global growth forecast reduced up to 2.4 % in 2016 by World Bank as recently released global economic prospects report and at 2.8 % in 2017 is also can be lower than its earlier forecast of 2.9 % and 3.1 % respectively, chiefly on account of a slower than predictable recovery in advanced economies.

Other Highlights of Report

  • Due to mediocre growth experienced the global forecast is reduced by advanced economies, while low commodity prices, weak global trade and stilted capital flows also impacted.
  • India has preserved first spot in the fastest growing major economies, ahead of China, for the next three years.
chart of GDP Growth Forecasts

chart of GDP Growth Forecasts

GDP Growth Forecasts

  • Growth projections of India have been slightly lowered by 0.2 % to 7.6 % for 2016 - 17 and 7.7 % in 2017 - 18 due to downfall of exports.
  • India has got profit from the fall in oil prices over a lessening in the import bill, but it also have spreads shrunk for 17 consecutive months as of April 2016.
  • Domestic risks of India such as slow development in structural improvement agenda containing:
  1. Power sector reforms
  2. Land reforms
  3. Tax reforms and vulnerabilities in corporate and banking sector balance sheets could impact the economy
  • Global strike and fall in product prices have contracted world trade projections.

World’s Fastest Growing Economies

World’s Fastest Growing Economies 2016

World’s Fastest Growing Economies 2016

World’s Fastest Growing Economies 2016

  • Currently Myanmar is the world’s fastest-growing economy as if the IMF’s latest World Economic Outlook with 8.6 % GDP growth.
  • Political and economic improvements, which have made headlines around the world, have maintained this economic growth.
  • Other higher growth companies are India, Laos and Tanzania.

- Published on: June 10, 2016