Global Economy Poised to Slow as Rate Hikes Bite, OECD Says

  • OECD sees global GDP growth 3% in 2023, 2.7% in 2024
  • Central banks must remain restrictive to tame inflation: OECD

The OECD predicted a contraction of 0.2% in Germany in 2023.

Photographer: Sean Gallup/Getty Images
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The world economy is set for a slowdown as interest-rate increases weigh on activity and China’s pandemic rebound disappoints.

Growth will ease to 2.7% in 2024 after an already “sub-par” expansion of 3% this year, according to the latest OECD forecasts. With the exception of 2020, when Covid struck, that would mark the weakest annual expansion since the global financial crisis.