The global economy is showing promising signs of improvement, according to recent data from the United Nations. Last week, the U.N. released its mid-2024 World Economic Situation and Prospects report, projecting a growth of 2.7% for the world economy this year, up from the 2.3% forecasted in January.
Looking ahead, the report anticipates a 2.8% increase in 2025, signaling a slow yet steady march toward a stronger financial future. Shantanu Mukherjee, director of the U.N.’s Economic Analysis and Policy Division, highlighted at a news conference that “these changes are actually coming from better-than-expected performance in some of the large developed and emerging economies.”
The report attributes this upward revision mainly to the growth of the United States economy, driven by falling inflation rates without a corresponding rise in unemployment. Furthermore, notable improvements have been observed in several large emerging economies, particularly Brazil, India, and Russia.
Despite this encouraging outlook, Mukherjee emphasized a “prognosis of guarded optimism,” citing ongoing challenges such as high interest rates, debt sustainability issues, climate risks, and geopolitical tensions that could impede further growth.
