OECD Expects Global Economy to Grow by 3.9% This Year
On March 13, the Organisation for Economic Co-operation and Development (OECD) released the latest forecasts for the growth of major economies. The OECD expects that the global economy will increase by 3.9% in 2018 and by 3.9% in 2019. In terms of major economies, the OECD expects China's economy to increase by 6.7% in 2018 and by 6.4% in 2019; in the euro zone, the economy will increase by 2.3% in 2018 and by 2.1% in 2019; the US economy is expected to grow by 2.9% in 2018. In 2019, the figure is expected to grow by 2.8%; the Japanese economy is expected to grow by 1.5% in 2018 and by 1.1% in 2019. It is worth noting that the OECD stated that the US tax reform will help increase the growth rate of the US economy by 0.5-0.75 percentage points in 2018 and 2019. In addition, the OECD expects that the United States will raise interest rates four times this year, compared with three times in previous expectations. In view of the uncertainty of Brexit, the OECD analysis pointed out that the UK's economic growth this year will be ranked lower in the G20 countries. In addition, OECD economist Pereira stated that the trade war will threaten the global economic rebound and may bring considerable harm.