OECD raises global economic growth forecast for 2024
(VOVWORLD) - The Organization for Economic Cooperation and Development (OECD) on Wednesday raised its forecast for global economic growth this year and next year to a stable level of 3.2% as inflation continues to fall and central banks are gradually cutting interest rates.
 A cargo port in Felixstowe, UK (Photo: AFP/VNA)
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The new forecast is 0.1% higher than the previous forecast of 3.1% announced in May.
GDP growth in the US is projected to slow from its recent rapid pace, but to be cushioned by monetary policy easing, with growth projected at 2.6% in 2024 and 1.6% in 2025. In the euro area, growth is projected at 0.7% this year, before picking up to 1.3% next year thanks to the recovery in real incomes and improvements in credit availability.
The OECD projects that robust growth in trade, improvements in real incomes, and a more accommodating monetary policy in many economies will help consolidate demand. The organization called on governments to raise property and environmental taxes and restrain spending in the face of higher debt.