China’s 2020 growth forecast held at 5.9 per cent by World Bank amid ‘fragile’ global economic outlook
- The latest Global Economic Prospects report predicts China’s growth is forecast to decelerate to 5.9 per cent this year, unchanged from the previous forecast in October
- Overall, the global economy will grow by 2.5 per cent in 2020, up from 2.4 per cent in 2019, the weakest growth rate since the global financial crisis in 2008-2009
China’s growth is forecast to decelerate to 5.9 per cent this year, according to the World Bank, and while its latest Global Economic Prospects report suggests global growth will accelerate slightly in 2020, the outlook for the world economy remains “fragile” amid major risks to even their “tepid” forecast.
Overall, the global economy will grow by 2.5 per cent in 2020, up from 2.4 per cent in 2019, the weakest growth rate since the global financial crisis in 2008-2009, the World Bank said, as trade and investment gradually recover.
“Downside risks predominate, including the possibility of a re-escalation of global trade tensions, sharp downturns in major economies, and financial disruptions in emerging market and developing economies,” said the World Bank.
Downside risks predominate, including the possibility of a re-escalation of global trade tensions, sharp downturns in major economies, and financial disruptions in emerging market and developing economies
East Asian growth, excluding China, is projected to accelerate to 4.9 per cent as a result of supportive financial conditions and robust capital inflows.
Growth in the United States will slow to 1.8 per cent from 2.3 per cent in 2019 due the impact on import tariffs and continued investment uncertainty. Euro zone growth, meanwhile, will slip further a 1.0 per cent from 1.1 per cent due to weak manufacturing activity.