The weak global economy takes a toll on Latin American and Caribbean trade

Projections at midyear 2013 suggest that the global economy will grow by less than forecast at the beginning of the year, despite improved financial conditions. The slowdown in emerging economies during the first half of the year led several international organizations to scale back their growth forecasts for the global economy this year. Between January and July 2013, the International Monetary Fund (IMF) (2013a) and United Nations (2013a) lowered their projections by between 0.1 percentage points and 0.2 percentage points, to 3.1%. This rate is the same as for 2012 and well below the annual average (4.8%) for the pre-crisis period (2003-2007). In the coming years, the global economy is expected to grow by about 4%, with developing countries accounting for the largest share. By contrast, the contribution of advanced economies will be limited by their persistent structural problems.

Related Subject(s): Economic and Social Development