The World Bank's Global Economic Prospects report for January 2022 highlights a challenging global economic environment, with the COVID-19 pandemic continuing to affect economies around the world. The report forecasts a slow global economic recovery, with growth expected to reach 4.0% in 2022, up from 3.5% in 2021, but still well below pre-pandemic levels. The report notes that the pace of vaccinations and the effectiveness of policy responses will be key factors in determining the speed and strength of the recovery.
The report also highlights the ongoing impact of the pandemic on poverty and inequality, with an estimated 95 million more people pushed into extreme poverty in 2020. The report calls for urgent action to support vulnerable populations and promote a more inclusive recovery.
In terms of regional outlook, the report expects the Asian and Pacific region to lead the global economic recovery, with growth expected to reach 6.5% in 2022. The report notes that China's economy is expected to grow at a faster pace than previously forecasted, supported by strong policy responses and ongoing vaccination efforts.
The report also highlights the ongoing risks to the global economy, including the potential for new waves of the pandemic, geopolitical tensions, and rising inflation. The report calls for continued policy support and cooperation among countries to address these risks and promote a more sustainable and inclusive global economic recovery.
