Global economic growth weakest since 2008 financial crisis: OECD

The global economy will grow by 2.9 percent in 2019 and 3 percent in 2020 - the weakest annual growth rates since the financial crisis, with downside risks continuing to mount, the Organization for Economic Co-operation and Development (OECD) forecasts in its latest Interim Economic Outlook.

The global economy has become increasingly fragile and uncertain, with growth slowing and downside risks continuing to mount, OECD maintained.

It added that the economic prospects are weakening for both advanced and emerging economies, and global growth could get stuck at persistently low levels without firm policy action from governments.

“The global economy is facing increasingly serious headwinds and slow growth is becoming worryingly entrenched,” said OECD chief economist Laurence Boone.

“The uncertainty provoked by the continuing trade tensions has been long-lasting, reducing activity worldwide and jeopardizing our economic future. Governments need to seize the opportunity afforded by today’s low interest rates to renew investment in infrastructure and promote the economy of the future,” she added.

Escalating trade conflicts are taking an increasing toll on confidence and investment, adding to policy uncertainty, aggravating risks in financial markets and endangering already weak growth prospects worldwide, OECD maintained.