The World Bank said that many countries across the world would struggle to prevent a recession this year as it pared down its global growth forecast.
Global growth is now expected to fall to 2.9%, a decrease of 1.2 percentage points from the previous forecast at the start of the year, the World Bank announced on Tuesday. The international financial institution said that alarm bells are flashing red for a “protracted period of feeble growth and elevated inflation.”
The term is often used to describe the U.S. economy of the 1970s, when both inflation and unemployment were high. At the time, many top economists thought such a situation was impossible, as it was believed that high inflation could be traded off for lower unemployment. Former Federal Reserve Chairman Ben Bernanke has also suggested that the United States might be in for a period of stagflation.
Malaysia Latest News, Malaysia Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Recession 'will be hard to avoid' in most of the world: World BankInsider tells the global tech, finance, markets, media, healthcare, and strategy stories you want to know.
Read more »
World Bank Slashes Global Growth Forecast to 2.9%, Warns of 1970s-Style StagflationThe World Bank on Tuesday slashed its global growth forecast and warned that many countries could fall into recession.
Read more »
World Bank slashes 2022 global growth forecast to 2.9%World Bank slashes its growth estimate for the global economy to 2.9 percent, 1.2 percentage points below the January forecast, due to the Russian offensive in Ukraine which has caused a severe downturn
Read more »
World Bank warns global economy may suffer 1970s-style stagflationThe global economy may be headed for years of weak growth and rising prices, a toxic combination that will test the stability of dozens of countries still struggling to rebound from the pandemic, the World Bank warned.
Read more »
World Bank: Lowers 2022 global growth forecast to 2.9% from 4.1% in JanuaryThe World Bank lowered their forecast for global growth in 2022 on Tuesday to 2.9% from their 4.1% estimate put out in January, Reuters reported. The
Read more »