What is the global economic growth rate in 2023?

Recently, the World Bank released its latest Global Economic Outlook report, significantly lowering its global economic growth forecast for 2023. The World Bank predicts that the global economic growth rate will slow to 1.7% in 2023, lower than the expected 3% growth rate in June last year. This is the third lowest level of annual global economic growth in nearly 30 years, only stronger than the downward performance in 2009 and 2020. In response, the Wall Street Journal of the United States quoted World Bank President David Malpas as saying that he is "deeply concerned" about the possibility of this slowdown continuing.

“In this regard, the World Bank said that global economic growth has slowed to a "near recession" level due to high inflation, rising interest rates, reduced investment, the Russia-Ukraine conflict and other impacts. The World Bank stated that although global inflation has begun to cool, it is still at a historical high, and sustained high inflation has raised the risk of global economic recession. 95% of developed economies, nearly 70% of emerging markets, and developing economies have lowered their growth forecasts for 2023 compared to before. Specifically, the economic growth of developed economies in 2023 was 0.5%, a decrease of 1.7 percentage points from previous expectations; The economic growth of emerging markets and developing economies in 2023 was 3.4%, a decrease of 0.8 percentage points from previous expectations.

In 2023, the World Bank predicted that the growth rate of gross domestic product (GDP) in the eurozone would be zero, a decrease of 1.9 percentage points from the previous forecast; Japan's growth will slow to 1%, a 0.3 percentage point decrease from the June 2022 forecast; The GDP of the United States will grow by 0.5% year-on-year, 1.9 percentage points lower than previous forecasts, making it the worst year for economic growth in the United States since 1970, except for the officially recognized recession period. The World Bank stated that due to sanctions continuing to drag down spending and investment, Russia's GDP is expected to contract by 3.3% after declining by 3.5% in 2022.

In addition, the Global Economic Outlook predicts that China's GDP will grow by 4.3% in 2023, exceeding the estimated 2.7% growth rate in 2022. According to the Wall Street Journal, Mark Williams, the chief Asia economist of Capital Investment Macroeconomics, said that with China coming out of this COVID-19, the possibility of factory shutdown is much smaller. Some economists believe that the United States and some parts of Europe may fall into recession in 2023, while China and emerging market countries will develop at a faster growth rate than more developed economies.