More
    HomeChinaWTO forecasts sharp slowdown in global trade growth in 2023

    WTO forecasts sharp slowdown in global trade growth in 2023

    Published on

    Geneva, October 5 The World Trade Organization issued a forecast on the 5th that the world economy has been hit by multiple shocks, and global trade is expected to lose growth momentum in the second half of 2022, and the growth rate will drop sharply in 2023. .

    WTO economists cut their 2023 growth forecast for global trade in goods to 1%, well below their April forecast of 3.4%; new forecast sees global growth at 2.3% in 2023 %, about 1 percentage point lower than the previous forecast.

    WTO economists forecast that the volume of global trade in goods will grow by 3.5% in 2022, and the global economy will grow by 2.8% in 2022.

    Previous forecasts for 2023 appeared “too optimistic” given soaring energy prices, more widespread inflation and no sign of an end to the military conflict, the WTO said.

    The WTO believes that import demand will decrease as growth slows in major global economies. High energy prices due to the Ukraine crisis will squeeze European household spending and push up business production costs; tightening monetary policy in the United States will hit interest-rate-sensitive spending areas such as housing, cars and fixed investment. At the same time, rising fuel, food and fertilizer import prices could pose food security risks and debt problems for developing countries.

    WTO Director-General Iweera said policymakers faced a difficult choice to find the best balance between policy goals such as tackling inflation, maintaining full employment and achieving a clean energy transition.

    She emphasized that trade is an important tool for enhancing the global supply of goods and services and reducing the cost of achieving net zero emissions. The 12th WTO Ministerial Conference in June this year proved that with sufficient political will, WTO members can cooperate and move forward together.

    LEAVE A REPLY

    Please enter your comment!
    Please enter your name here

    Latest articles

    Banks stopped accepting dollars and euros through ATMs

    Russian banks have stopped accepting dollars and euros through ATMs, Izvestia found out. ...

    Zelensky warned the EU against a non-European decision on exports from Ukraine

    President of Ukraine Volodymyr Zelensky called the decision on the possible extension of restrictions...

    China warns against turning internet into 'battlefield'

    The Chinese authorities opposed the transformation of the Internet into a battlefield, as well...

    The activist told Izvestia about the mood of the protesters in Israel

    For now, the citizens of Israel are opting for peaceful forms of protest against...

    More like this

    Banks stopped accepting dollars and euros through ATMs

    Russian banks have stopped accepting dollars and euros through ATMs, Izvestia found out. ...

    Zelensky warned the EU against a non-European decision on exports from Ukraine

    President of Ukraine Volodymyr Zelensky called the decision on the possible extension of restrictions...

    China warns against turning internet into 'battlefield'

    The Chinese authorities opposed the transformation of the Internet into a battlefield, as well...