World Economic Forum experts expect global recession in 2023

In 2023, geopolitical tensions will continue to affect the global economy, according to a report from the World Economic Forum (WEF). According to WEF economists, there will be a global recession in 2023. Report published on site WEF.

Two-thirds of WEF economists believe a recession in 2023 is likely, 18% of them rate it highly likely. A third of economists surveyed by the WEF consider a recession unlikely.

According to WEF economists, economic growth in 2023 in Europe and the United States will be weak or very weak. About half of the economists surveyed expect China’s economic growth to be weak, and another half expect it to be strong. In their opinion, the abolition of tough anti-coronavirus measures could lead to accelerated economic growth.

Also, 57% of WEF economists surveyed believe that inflation in Europe will be high, another 5% expect high inflation in China. Most economists are also confident that European and US central banks will continue to tighten monetary policy in 2023.

“With two-thirds of top economists expecting a global recession in 2023, the global economy is in a precarious position. The current high inflation, low growth, high debt and high fragmentation reduce the incentives for the investment needed to resume growth and improve the living standards of the world’s most vulnerable people,” said Saadia Zahidi, WEF Managing Director.

Previously, the World Bank sharply worsened global economic growth forecast for 2023. They expect global GDP to grow by 1.7% in 2023. At the International Monetary Fund spokethat in 2023 half of the EU countries are threatened with a recession due to the military conflict between Russia and Ukraine. On the eve of the new year, Financial Times analysts also wrote on the inevitability of a recession and rising unemployment in the EU.

On the situation in the global economy – in the material “Kommersant” “Definitely no good”.

Olesya Pavlenko