WASHINGTON, Jan. 12 (Xinhua) -- The World Bank Group on Tuesday slashed global growth forecast for this year amid incessant COVID-19 flare-ups, rising inflation and lingering supply bottlenecks, warning of various downside risks to global growth prospects.
In its newly released semiannual Global Economic Prospects, the multilateral lender projected that global economy is on track to grow by 4.1 percent this year, 0.2 percentage point lower than the forecast in June. It also revised down estimation for 2021 global growth by 0.2 percentage point to 5.5 percent.
The U.S. economy is estimated to grow by 5.6 percent in 2021, and moderates to 3.7 percent this year. The Chinese economy is estimated to grow 8.0 percent in 2021, and slow to 5.1 percent this year. The Euro area economy is expected to expand by 5.2 in 2021 and 4.2 percent in 2022.
"The world economy is simultaneously facing COVID-19, inflation, and policy uncertainty, with government spending and monetary policies in uncharted territory," said World Bank Group President David Malpass.
