UN raises global economic growth forecast amid sustained recovery in China and US
The UN raised its forecast for global GDP growth on Tuesday amid robust economic recovery in China and the United States, but warned of instability in other economies amid the COVID-19 pandemic.
The United Nations Department of Economic and Social Affairs (DESA) has released an updated report on the global economic situation and outlook for 2021. Analysts expect global GDP to grow by 5.4% by the end of the year. In January, the forecast was 4.7%.
After a sharp 3.6% contraction in 2020, the global economy is returning to growth as the world's two largest economies, China and the United States, are showing impressive growth rates.
DESA raised its forecast for the growth of the Chinese economy in 2021 from 7.2% to 8.2%, the American economy - from 3.4% to 6.2%.
However, analysts warn that the continued spread of COVID-19 and insufficient progress in vaccination in many countries threaten a large-scale recovery of the global economy.