UN identifies five G20 countries for rapid growth

The UN reports that five G20 nations are poised for accelerated economic growth, offering a glimmer of optimism in a world marked by instability. Russia, China, Brazil, Japan, and Mexico are identified as economies set for swift expansion.

The UN Conference on Trade and Development (UNCTAD) highlights a global economic slowdown, with growth diminishing in most regions since the previous year. Their recent study indicates a decrease in the world economy's growth rate from 3% to 2.4% in 2023. Apart from East and Central Asia, where growth remains steady, other regions are anticipated to experience slower growth this year compared to 2022, with Europe expected to witness the most significant decline.

Notwithstanding this overall trend, certain economies are exhibiting strength in 2023. Brazil, China, India, Japan, Mexico, Russia, and the US are resilient performers. Among the G20 nations, Brazil, China, Japan, Mexico, and Russia are identified as likely to witness accelerated growth, although the rates are expected to vary significantly.

The study forecasts a 2.2% growth in Russia's GDP for 2023 and a 2% growth in 2024. Notably, the country's primary source of foreign currency, energy exports, has remained relatively stable.

UNCTAD emphasizes the divergent nature of the global rebound post-pandemic, attributing it to rising inequality, market concentration, and high debt levels. This divergence raises concerns about the future of the world economy.

Rebeca Grynspan, Secretary-General of UNCTAD, advocates for a balanced policy mix encompassing fiscal, monetary, and supply-side measures to achieve financial sustainability, promote productive investment, and create better jobs. She emphasizes the need for regulations addressing growing imbalances in the world's financial and trading systems.