PARIS - World growth is currently forecasted to decline to 2.2% in 2023 and bounce back to a relatively modest 2.7% in 2024, with Asia positioned as the main engine of growth in 2023 and 2024.

Tighter monetary policy and higher interest rates, persistently high energy prices, weak household income growth, and declining confidence are all expected to sap growth. The United States and Europe are slowing sharply and the major Asian emerging-market economies are expected to account for close to three-quarters of global GDP growth in 2023.

Meanwhile, Russia’s war against Ukraine is also aggravating global food insecurity by putting pressure on prices, supplies and food affordability, notably in low-income developing countries especially vulnerable to high food and fertiliser prices, as well as shortfalls in the supply of cereals from Russia and Ukraine.

Keeping international borders open to trade would improve access to food and other goods at lower prices. On the domestic front, policies to enhance productivity, tackle gender gaps in the labour market and boost living standards can have a direct effect on household incomes, and reduce price pressures.

 

 

 

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