Russia, China, Brazil, Japan, and Mexico are set for rapid development amid overall global uncertainty
The UN Conference on Trade and Development (UNCTAD) has warned of a stalling global economy, with growth slowing in most regions from last year and only a few countries bucking the trend.
According to its report on Wednesday, world economic growth is expected to slow from last year’s 3% to 2.4% in 2023. All regions, except for East and Central Asia, were forecast to post slower growth this year than in 2022, with the largest drop occurring in Europe.
The report indicated that some economies, including Brazil, China, India, Japan, Mexico, Russia, and the US, have demonstrated resilience in 2023. However, among G20 countries, only Brazil, China, Japan, Mexico, and Russia are expected to see accelerated growth, with considerable variation, the UNCTAD said.
Russia’s GDP growth is projected to be 2.2% and 2% in 2023 and 2024, respectively. The overall volume of the country’s energy exports, the country’s main source of foreign currency, has not changed dramatically and remained mostly stable, according to the report.
The global post-pandemic recovery is divergent in light of widening inequalities, growing market concentration, and mounting debt burdens, UNCTAD wrote, adding that this divergence has raised concerns about the way forward for the world economy.
“We need a balanced policy mix of fiscal, monetary and supply-side measures to achieve financial sustainability, boost productive investment and create better jobs,” UNCTAD Secretary-General Rebeca Grynspan said. “Regulation needs to address the deepening asymmetries of the international trading and financial system.”