OECD expects slower economic growth in 2023 due to Ukraine war

OECD expects slower economic growth in 2023 due to Ukraine war

Global economic growth will be slowed down next year to 2.2% by Russia’s war on Ukraine, according to a forecast by the Organization for Economic Co-operation and Development (OECD) published on Tuesday.

The OECD stated that economic growth would only be 2.2% in 2023, which is significantly less than expected before the war. In 2024, growth is expected to rise to 2.7%.

However, the outlook is very uncertain. If there are energy bottlenecks in the markets, growth could be even weaker, the OECD said.

“The world economy is paying a high price for Russia’s unprovoked, unjustifiable and illegal war of aggression against Ukraine,” the study said. Fighting inflation must be the top priority, it said.

For 2022, the OECD expects global economic growth of 3.1%.