World Bank – Global Economic Report June 2024

The World Bank's Global Economic Report for June 2024 indicates that the global economy is beginning to stabilize after a period of negative shocks. It is projected to grow at a steady rate of 2.6 percent this year, with a slight increase to 2.7 percent in 2025-26 due to expansions in trade and investment. However, global inflation is expected to remain high at 3.5 percent. Central banks are cautious about easing policy, leading to sustained high interest rates. The outlook for global growth remains subdued, with most economies experiencing slower expansion. Emerging markets are expected to see a slight decrease in growth. Risks include geopolitical tensions, volatile commodity prices, trade fragmentation, inflation, weaker activity in key economies, and climate-related disasters. Policy makers face challenges in safeguarding trade, supporting transitions to green and digital economies, delivering debt relief, and improving food security. Additionally, efforts are needed to maintain price stability, manage high debt levels, boost productivity, enhance public investment efficiency, develop human capital, and close gender gaps in the job market.