Mexico is among the five nations that will experience the most growth in 2023 within the Group of Twenty (G-20), in an environment of weak global economy and trade, according to the United Nations Conference on Trade and Development (UNCTAD).
Mexico’s GDP growth will outpace global GDP growth, which did not happen from 2019 to 2022 and is not expected to occur in 2024, according to the same source’s forecast.
According to UNCTAD’s projections, global economic production growth will slow down to 2.4% in 2023 before experiencing a slight rebound to 2.5% in 2024.
These growth rates are among the lowest in the past four decades, except during crisis years. Additionally, the 2023 figure falls below the conventional threshold of 2.5%, which signifies a global economic recession.
In its Trade and Development Report 2023, UNCTAD indicates that these projections are subject to increased downside risks in recent months.
It is expected that all regions, except East and Central Asia, will experience slower growth this year compared to 2022, with the most significant drop (2.3 points) occurring in Europe.
Similarly, among G20 countries, it is only expected that Brazil, China, Japan, Mexico, and the Russian Federation will see an improvement in growth, with considerable variations,” according to UNCTAD.
It is especially concerning that, given the ambitious climate and development goals set by the international community with a deadline of 2030, growth in 2023 and 2024 will also fall below the average for the five years prior to the pandemic in all regions.
Simultaneously, after experiencing a roller coaster ride in 2020-2022, UNCTAD estimates that global trade in goods and services will grow by approximately 1% in 2023, a figure significantly lower than the growth in global economic production.
It is also lower than the average growth recorded over the past decade, which is itself the slowest period of average global trade growth since the end of World War II.
In the medium term, trade is returning to its moderate pre-crisis trend, and in the short term, it will even fall below this figure.
TYT Newsroom
