Rich nations to push Third World export
THE strengthening of economy in high-income countries will boost demand for developing country exports, World Bank’s newly-released Global Economic Prospects (GEP) reports.
However, the report said while that happens, rising interest rates will reduce capital flows.
The report projects global trade to grow from an estimated 3.1% in 2013 to 4.6% this year and 5.1% in each of 2015 and 2016.
However, its states weaker commodity prices will continue to temper trade revenues.
Between their early-2011 peaks and recent lows in November 2013, the real prices of energy and food have declined by 9 and 13%, respectively, the bank said.
Port Moresby (The National)
what I am hearing is waffle… rhetoric at best…
Global economic indicators show improvement. But one does not have to be especially astute to see there are dangers that lurk beneath the surface. The Euro Area is out of recession but per capita incomes are still declining in several countries. We expect developing country growth to rise above 5 percent in 2014, with some countries doing considerably better, with Angola at 8 percent, China 7.7 percent, and India at 6.2 percent. But it is important to avoid policy stasis so that the green shoots don’t turn into brown stubble.
Senior Vice President and Chief Economist at the World Bank
Sounds like a politician, not an economist.
Then the good newz comes…
“2013 marked another year of weakening growth in the East Asia and Pacific region. Growth moderated to 7.2 percent in 2013 from 7.4 percent in 2012 with growth in China unchanged from the 7.7 percent recorded in 2012. A one percentage point slowdown in growth in the rest of the region reflects a moderation of economic activity in Indonesia, Malaysia, and Thailand where weak commodity revenues and policy tightening to address economic imbalances accumulated during the years of above-potential growth cut into activity.”
I wonder if this is the “good newz”…