United Nations (UN) in its mid-year report on economic prospects named "World Economic Situation and Prospects (WESP) 2019 Mid-year Update" diminished the global economic growth forecasts for 2019 to 2.7% and for 2020 to 2.9%.
In the January predictions, the economic growth was projected at 3% for both years.
The reason behind the lowering of the forecast is high trade tensions, uncertainty over political policies and a complicated confluence of internal and external factors affecting most of the developed and developi ng economies. Among developed economies, United States' will grow at 2.3%, while the European Union's overall economy will expand at 1.5%, Japan at 0.8% and Russia at 1.4%.
For India, LIN has cut the grow.'th rate by 0.6% to be at 7% for 2019 from the earlier prediction of 7.6% in the January edition.
But despite of downward revision, India remains the fastest growing major economy in the world, ahead of China's growth rate of 6.3%.
About the United Nations:
Establishment: 1945
Headquarters: New York, US
Secretary general: Antönio Guterres