UN report predicts global economic growth to remain at 2.8% in 2025

On January 9, local time, the United Nations released the World Economic Situation and Prospects 2025 (WESP) report. The report predicts that global economic growth will remain at 2.8% in 2025, the same as in 2024. Although the global economy has shown strong resilience and weathered a series of mutually reinforcing shocks, the level of growth is still lower than the pre-pandemic average of 3.2 percent, constrained mainly by weak investment, sluggish productivity growth, and high debt levels. The report notes that falling inflation and continued monetary easing in many economies could provide a modest boost to global economic activity in 2025. However, uncertainties continue to loom, including geopolitical conflicts, heightened trade tensions and high borrowing costs in many regions, challenges that are particularly acute for low-income and fragile States, whose low and fragile growth performance threatens progress towards the sustainable development goals (SDGs).