World Bank Dims Outlook For Global Economy

[Valin]

HuffPo/AP

“For many countries, recession will be hard to avoid,” said David Malpass, the World Bank’s president.

Paul Wiseman

Jun 7, 2022

WASHINGTON (AP) — The World Bank has sharply downgraded its outlook for the global economy, pointing to Russia’s war against Ukraine, the prospect of widespread food shortages and concerns about the potential return of “stagflation” — a toxic mix of high inflation and sluggish growth unseen for more than four decades.

The 189-country anti-poverty agency predicted Tuesday that the world economy will expand 2.9% this year. That would be down from 5.7% global growth in 2021 and from the 4.1% it had forecast for 2022 back in January.

“For many countries, recession will be hard to avoid,” said David Malpass, the World Bank’s president.

The agency doesn’t foresee a much brighter picture in 2023 and 2024: It predicts just 3% global growth for both years.

(Snip)

_________________________________________________________

[Valin]

With Apologizes To Ronald Reagan

“Recession is when your neighbor loses his job. Depression is when you lose yours. And recovery is when Joe Biden loses his.”