This Article First Appeared In Forbesindia On Oct 20, 2022.
A‘synchronised’ recession has gripped the global economy. In its latest World Economic Outlook report, the International Monetary Fund (IMF) trimmed its 2023 global GDP forecast to 2.7 percent from 2.9 percent in July, but retained its world growth forecast for the current calendar year at 3.2 percent. “The worst is yet to come,” it warns.
The IMF predicts a third of the global economy will contract in the calendar year 2023, and cautions that the world’s engines of production and consumption—China and US—will continue to see a decline in economic activity. China is expected to limp to recovery, and grow at 3.2 percent this year, whereas the US economy is likely to remain flat at 1.6 percent. Few European countries may see their economies shrink in the coming quarters.