UN World Economic Situation and Prospects 2022 report has been announced.
According to the report, the global economic recovery is facing a headwind this year amid the new wave of the COVID-19 outbreak, persistent labor market challenges, supply chain disruptions and rising inflation pressure.
After 5.5 percent growth in 2021, the global economy is expected to grow by 4 percent in 2022 and 3.5 percent in 2023.
Strong growth in consumer spending last year, increased investment and trade in goods surpassing pre-pandemic levels pushed the strong recovery in 2021 to the highest level in 40 years.
But growth momentum in China, the US and the European Union slowed significantly in late 2021 as the effects of monetary and fiscal stimulus began to wane and major supply chain disruptions emerged.
The global economic recovery is expected to slow down this year, according to the report.
Increasing inflation pressure in many economies also poses a risk to recovery.
The new wave of infections caused by the highly contagious Omicron variant of Kovid-19 is expected to re-increase the humanitarian and economic impacts of the epidemic.
Pointing out that there will be delays in the recovery of the labor market, it is estimated that the global poverty level will increase and employment will remain well below pre-pandemic levels for the next two years.
The report also points out that the labor shortage in developed economies contributes to supply chain problems and inflation, while employment growth remains weak in developing countries.
Comments
No comment yet.