In the latest World Economic Outlook report released by the International Monetary Fund (IMF), global economic growth in 2024 is projected to reach 3.2%, down from 3.4% in 2023 and lower than previous forecasts. The report highlights that high interest rates, inflationary pressures, and geopolitical tensions are negatively impacting the world economy.

IMF Chief Economist Pierre-Olivier Gourinchas stated, "The global economy is showing resilience but continues to slow down." He noted that while growth in developing countries is expected to be relatively high, developed nations, particularly the European Union and the United States, may face economic challenges. Gourinchas added, "Raising interest rates to control inflation could dampen economic activity."

The report indicates that the European Union's economy is expected to grow by only 0.9% in 2024, below previous forecasts, possibly due to rising energy prices and declining production in the region. U.S. economic growth is projected to fall to 2.1%, down from 2.5% in 2023, likely because of high interest rates and reduced consumer spending. Although Asia's economy is expected to remain relatively robust, China's property market issues and weak domestic demand could threaten global growth.

The IMF called on governments and central banks to balance policies to control inflation and maintain economic stability. The report warned that geopolitical conflicts and trade restrictions could impose additional negative impacts on the world economy. This is a challenging period for the global economy, with the potential for further slowdown in the coming months.

Source: www.uznews.uz