World Bank Report cuts global growth forecast to 2.4%

Posted on:09 Jun 2016 11:57:06
World Bank Report cuts global growth forecast to 2.4%
09 June 2016 Current Affairs: The World Bank in its report on global economic prospects has cut global growth forecast to 2.4% in 2016 and at 2.8% in 2017. The growth rate was lower than its earlier forecast of 2.9% and 3.1% respectively, mainly on account of a slower than expected recovery in advanced economies.

The cut in global forecast was due to mediocre growth experienced by advanced economies, while low commodity prices, weak global trade and stilted capital flows also impacted. India will remain one of the fastest growing major economies, ahead of China, for the next three years. India’s growth projections have been marginally lowered by 0.2% to 7.6% for 2016-17 and 7.7% in 2017-18 due to downfall of exports.

India has benefitted from the fall in oil prices through a reduction in the import bill, but its exports also have shrunk for 17 consecutive months as of April 2016. India’s domestic risks such as slow progress in structural reform agenda including power sector reforms, land reforms and tax reforms and vulnerabilities in corporate and banking sector balance sheets could impact the economy. Global slowdown and fall in commodity prices have shrunk world trade projections. China’s growth projections are at 6.7% and 6.5% for 2016 and 2017, respectively.

 

Monthly Current Affairs

Current Affairs Section

Daily Current Affairs Quiz

Subscribe to Current Affairs

Enter your email to get daily current affairs

Current Affairs October 2017

20 OCTOBER
NEWS
19 OCTOBER
NEWS
18 OCTOBER
NEWS
17 OCTOBER
NEWS

Current Affairs September 2017

30 SEPTEMBER
NEWS
28 SEPTEMBER
NEWS
27 SEPTEMBER
NEWS
26 SEPTEMBER
NEWS

Current Affairs August 2017

31 AUGUST
NEWS
30 AUGUST
NEWS
29 AUGUST
NEWS
28 AUGUST
NEWS