World Bank cuts growth forecasts for the global economy

The World Bank has cut its global economic growth forecasts and subscribed to cut forecasts operated by other supranational institutions, due to the uncertainty of the macroeconomic scenario.

The new estimate indicates an increase of 2.4% compared to 2.9% previously indicated. Growth readjusts well to the levels of 2015, and will tend to rise to 2.8% in 2017 and 3% in 2018.

According to the international institute, the economy will be affected by the slowdown in advanced economies, low commodity prices, the weakness of international trade and lower capital flows. Cutting about some all advanced economies: the United States will grow by 1.9% instead of 2.8%, Japan 0.5% and the Eurozone 1.6%.

“As advanced economies struggle to gain traction, most economies in South and East Asia are growing solidly, as are commodity-importing emerging economies around the world,” said World Bank Chief Economist Kaushik Basu said in a statement.