Economy Watch


Overview


This chapter depicts trends in major economic variables among developed, emerging and African economies. Economic data are changing rapidly and economic forecasts are often proved wrong by unforeseen and unpredictable events. Yet, globalisation, involving interaction along supply chains, demands that business and policy decisions take into consideration developments in the global economic and business landscape.

Industrial policy formulation and the need for informed business decisions also justify a close watch on new challenges and opportunities from the global economic and business environment, through a constant scanning process of economic and business data.
According to the International Monetary Fund (IMF), issues such as the escalation of US-China trade tensions, disruptions to the auto sector in Germany, tighter credit policies in China and heightened risks surrounding Brexit have contributed towards lower global expansion in the second half of 2018.
Global growth which peaked at 3.8% in 2017, decreased to 3.6 % in 2018 and is forecasted to decline further to 3.3% in 2019. Growth in advanced economies is projected to decrease to 1.8% in 2019 as compared to 2.2% in 2018. Emerging markets and developing economies are expected to achieve a stabilised growth rate of around 4.4% in 2019 in comparison to 4.5% in 2018.


 

 

Highlights of World Economic Outlook projections by IMF