The World Trade Organization WTO has lowered its global trade forecast for 2023 because Russia's war in Ukraine and other shocks take a toll on the world economy.
Growth is weighing on the growth of the world, according to WTO Director General Ngozi Okonjo-Iweala, who spoke to reporters in Geneva.
WTO economists said they still expect global economic growth to rise by 2.8 per cent this year, in line with their expectations in April, and they still believe that global economic growth will rise by 2.8 per cent this year.
They said that GDP growth is now expected to be just 2.3 per cent, down from the previous forecast of 3.2 per cent.
The Organisation for Economic Co-operation and Development OECD, which maintains its 2022 forecast at 3 per cent, expects to see 2.2 per cent growth next year.
The International Monetary Fund IMF forecasts growth of 3.2 per cent this year and 2.9 per cent in 2023.
As for global merchandise trade, WTO economists said they now expect its volume to grow 3.5 per cent this year, which is slightly higher than previously expected.
The volume expected to grow by just 1 per cent in 2023 - a decline from the 3.4 per cent forecast in April.
Okonjo-Iweala said that the picture for 2023 has darkened considerably.