World Economic Forum 2024: Even in the year 2024, the global economy will face huge challenges. 56 percent of the world’s chief economists believe that the global economy may see weakness in the current year. At the same time, seven out of 10 economists believe that the pace of global economic fragmentation may accelerate further.
The pace of global economic growth will remain weak
On the first day of the World Economic Forum meeting being held in Davos, the Chief Economist’s Outlook Report on the global economic situation was released. According to this report, 56 percent of economists believe that the global economy may see weakness in 2024. Whereas there are 53 percent economists who believe that there will be no change in the situation or the global economy may show strength. A large section of these economists also believe that the labor markets and financial conditions will weaken further in the coming days. Although the possibility of high inflation is no longer visible, the outlook for development of each region is different and there is no region in 2024 where prospects of strong economic growth are visible.
Inequality increasing with global conflict
Saadia Zahidi, Managing Director of the World Economic Forum, said, the Chief Economist’s Outlook points to the current economic situation of uncertain nature. He said that, amid growing disagreements, the resilience of the global economy is going to be tested in the coming years. Inflation is decreasing all over the world. But the pace of development has stagnated, financial conditions remain extremely tight, global conflicts are increasing and inequality is also increasing. There is an urgent need for global cooperation that can accelerate sustainable, inclusive economic growth.
Positive on South Asia
The outlook of the world’s leading economists is positive regarding South Asia, East Asia and the Pacific region and there is no change in their stance compared to last year’s outlook. Most economists believe that limited growth may be seen in 2024. According to the outlook, the growth rate in China will remain limited due to decline in consumption, decline in industrial production and property market concerns and currently there are no signs of any improvement.
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