The global growth forecast stands at 3.1 percent, which is notably lower than historical averages.
Looking ahead to 2025, the global growth forecast stands at 3.1 percent, which is notably lower than historical averages. Global inflation is expected to decline
by Victor Osaronwafor-
In 2024, the baseline projection indicates that the world economy will continue growing at a rate of 3.2 percent—the same pace as in 2023. Advanced economies are expected to experience a slight acceleration, with growth rising from 1.6 percent in 2023 to 1.7 percent in 2024 and 1.8 percent in 2025. However, emerging market and developing economies are projected to see a modest slowdown, declining from 4.3 percent in 2023 to 4.2 percent in both 2024 and 2025.
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Looking ahead to 2025, the global growth forecast stands at 3.1 percent, which is notably lower than historical averages. Global inflation is expected to decline steadily, from 6.8 percent in 2023 to 5.9 percent in 2024 and further to 4.5 percent in 2025. Advanced economies are likely to return to their inflation targets sooner than emerging market and developing economies.
Despite challenges, the global economy has shown resilience, even amidst central bank interest rate adjustments aimed at restoring price stability. Structural frictions persistently hinder capital and labor mobility to productive firms, affecting output per person growth. Additionally, dimmer growth prospects in China and other large emerging markets will impact trading partners.