More than 50 economists from the finance, insurance, professional services and technology industries, as well as international organizations and regional development banks, participated in the survey.
Fears of recession rise around the world
Fears of a recession have increased worldwide due to high inflation and a steady decline in real wages. The World Economic Forum (WEF) concluded this on Wednesday on the basis of a survey conducted among the world’s leading economists. According to the WEF Chief Economist Scenario Report, the real wages of workers are expected to decline worldwide in the financial year 2022-23. On the other hand the cost of living is increasing. This threatens to increase social discontent. However, inflationary pressures are expected to ease next year. The survey says that in the next three years, food security may be at risk in large parts of the world.
Rising rice prices threaten food security
Referring to the growing concerns about food security due to export restrictions, the report said that India, the world’s largest rice exporter, has imposed a ban on the export of broken rice. Also, 20 percent export duty has been imposed on other types of rice. These steps disrupt the global supply system. It said, the global food crisis did not arise solely because of the stability of rice prices in the year 2022. Now there is a risk of worsening the situation due to high prices of rice.
More than 50 economists participated in the survey
More than 50 economists from the finance, insurance, professional services and technology industries, as well as international organizations and regional development banks, participated in the survey. Economists in the survey predict a moderation in economic growth this year and next, high inflation and a steady decline in real wages. An average of seven out of ten economists predict a global recession. They believe that the prospects of the global economy have weakened in the last few months. According to the survey, nine out of ten economists expect growth in Europe to remain weak in 2023. On the other hand, growth in West Asia and North Africa (MENA) region, America, South Asia and Latin America is expected to be moderate.