Economists: Global economy will slow down further next year

Global economic growth will slow further next year, a Reuters poll shows, with uncertainty in the United States and China also contributing.

Economists at Morgan Stanley, Goldman Sachs and Deutsche Bank, among others, have given their forecasts for next year. They expect the global economy to grow by 2.9 percent this year and 2.6 percent next year.

The European economy could fall into a mild recession next year, just like the UK, according to economists. The Central Statistical Office (CBS) reported last month that the Netherlands was already in recession.

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Big Boys in Severe Weather

The uncertainty in the world’s two largest economies also contributes to economists’ assessments. Economists believe China’s economic growth will be lower. Companies want to become less dependent on the Asian country and are looking to locate outside China. China’s economy is recovering with difficulty after the coronavirus measures were introduced late last year. There is also a major housing crisis. In the United States, uncertainty over possible interest rate cuts by the Federal Reserve could lead to delays.

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