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November 19, 2019

UN forecasts global economic growth to reach 2.7% this year

UNThe UN expects global GDP to increase by 2.7% in 2017 and by 2.9% in 2018 due to a moderate recovery in trade and investment, reveals the updated report “World Economic Situation and Prospects 2017”, published today on the organization’s website. Thus, the UN confirms its forecasts made in January for a restored recovery of global economic growth.

And while the estimates take into account a significant acceleration of the pace towards 2016, the growth in many regions remains below the levels needed for rapid progress and the achievement of sustainable development goals. The changes in expectations for the US and the European Union (EU) economy are also virtually absent. The UN predicts that in both years the US GDP will grow by 2.1% and the EU GDP will expand by 1.7% (the estimate is reduced by only 0.1 percentage points). For the Eurozone, the figures are 1.6% for 2017 and 1.7% for 2018.

Overall, for developed economies, the UN expects a growth rate of 1.8%.

For emerging economies, the 2017 estimate is slightly increased to 1.8% and for 2018 is 2.0%.

For Southeast Europe, the organization continues to expect economic growth of 3.1% this year, and for the next year it has slightly reduced its forecast to 3.2%.

High growth is expected in emerging countries in Asia, including India (7.3% and 7.9%) and China (6.5% for both years). For Brazil, the expected pace is 0.1% this year and a significant acceleration to 2.6% next year. Total the Latin American and Caribbean countries are expected to grow at 1.1% in 2017 and 2.5% in 2018.

The UN raises its forecast for Russia to 1.5% for 2017 and 2018.

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