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World Bank. Forecasts for Poland and the global economy for 2023 and 2024

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The World Bank lowered its forecast for the global economy for 2024 due to interest rate hikes, but raised it for 2023, Reuters reported. As far as Poland is concerned, the World Bank maintained its earlier predictions regarding economic growth.

The World Bank upheld the forecast of Poland’s economic growth in 2023 at 0.7 percent, and in 2024 at 2.6 percent. – according to the latest estimates of the World Bank. In 2025, the World Bank forecasts dynamics Polish GDP to 3.2 percent The report does not contain a justification.

World Bank forecasts for the global economy

The World Bank raised its global growth forecasts for 2023 because United States, China and other major economies turned out to be more resilient than forecast. However, he added that it was higher interest rates will have a greater impact on next year’s results.

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Real global GDP will grow by 2.1% in 2023. The World Bank reported in its latest Global Economic Prospects report. This is higher than the January forecast (1.7%), but well below the level of 2022, when the growth was 3.1%. Reuters pointed out.

In turn, the global growth forecast for 2024 fell from 2.7 percent. in January to 2.4 percent. The cut was explained by the delayed effects of monetary policy tightening by central banks and tighter credit conditions that limited business and residential investment. These factors will cause a further slowdown in growth in the second half of 2023 and in 2024, the agency said.

She added that the bank published a new global growth forecast for 2025 at 3.0 percent.

“That’s five lost years for almost a third of the world’s countries”

The World Bank’s chief economist Indermit Gill presented new forecasts in a minor tone – he said that 2023 will be one of the slowest years of growth for developed economies in the last five decades.

He added that two-thirds of developing economies will record lower growth than in 2022, which will be a serious obstacle to post-pandemic recovery and poverty reduction, and will increase debt.

“Even by the end of next year, a third of developing countries will not reach the end-2019 level of per capita income,” said Gill. He added: – That’s five lost years for almost a third of the world’s countries.

In January, the World Bank warned that global GDP was slowing and on the brink of recession, but since then the US labor market and consumption have done better than expected. It was the same with the revival China after COVID-19 lockdowns.

U.S. growth in 2023 is currently projected at 1.1 percent, more than double the 0.5 percent. forecast in January, while China’s growth is expected to reach 5.6%, compared to 4.3% in the previous year. forecast in January.

However, the bank halved its previous forecast for US growth in 2024 to 0.8 percent. and lowered its forecast for China by 0.4 percentage points to 4.6%.

Main photo source: Shutterstock

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