- According to the World Economic Situation and Prospects (WESP) report that was released by the United Nations on 18th May 2022, the global economy this year is expected to grow by only 3.1 per cent.
- The earlier prediction in January was 4.0 per cent but the rate was slashed mainly due to the war in Ukraine.
- This report has been published by the Department of Economic and Social Affairs (DESA) of the UN.
- The forecast has revealed that the Ukraine conflict and the COVID-19 pandemic have increased commodity and food prices, thus increasing the inflationary pressures.
- According to this report, global inflation this year is set to reach 6.7 per cent.
- The high inflation rate in the developing and least developed countries is reducing the real income of the households.
Tags:
Economics
