World Bank ups growth forecasts

CNC
Added On January 11, 2018

The World Bank has revised up its growth prospects for the world economy.
 
Global GDP is now expected to expand by 3.1 percent this year - and last year was the best for growth since 2011.
 
For the first time in many years, the World Bank's outlook for the global economy is better than expected, with all regions seeing improved growth.
 
Growth is expected to hit 3.1 percent this year, and 3.0 percent in 2019.
 
The growth for 2017 has also been upped to 3 percent, making it the best year since 2011.
 
The forecast is better than what the bank was expecting in its previous assessment last June.
 
Among the large economies, the up-rating is especially marked for the eurozone, which has been revised up by 0.6 points to 2.1 percent for 2018.
 
With stronger private investment, U.S. economy is estimated to grow 2.3 percent in 2017.
 
The growth is expected to accelerate to 2.5 percent this year and then ease to an average of 2.1 percent in 2019 and 2020.
   
The World Bank expected the recent tax bill passed by the US Congress will boost corporate investment. 
 
The World Bank also upgraded its forecast for China's economic growth this year.
 
The bank said that the Chinese economy continues to make progress in rebalancing, with consumption and services sector maintaining relatively fast growth.
 
The bank's president Jim Yong Kim said the broad-based recovery in global growth is encouraging.
   
However, the report warned the upswing to world growth will be short term, with gains in improving living standards and reducing poverty levels at risk long term.
 
The bank also urged countries to make investments and improve their growth prospects.