Slowdown will continue to go from 2022 to 2023: World Bank chief economist

Dr Ayhan Kose, Chief Economist and Director of the Prospects Group in the Equitable Growth, Finance and Institution (EFI) practice group of the World Bank said that the slowdown will continue going ahead in the future.

"Going from 2022 to 2023, the slowdown will continue, we will see diminishing policy support and we will continue our struggle with supply bottlenecks," Kose said while speaking at the 94th Annual General Meeting of Industry Body FICCI.

Talking about the prospect of growth in the future, he added that the incoming data is suggesting the moderation of growth at the turn of the year.

"As the incoming data suggest that the growth is moderating at the turn of the year and COVID-19 numbers are increasing again due to Omicron virus. We think the recovery will continue in 2022 but the growth is going to be more," chief economist of World Bank added.

According to him, in the near term, the world will see growth but at the same time will grapple with a steady slowdown after this year's high growth number.

Throwing light on the global supply side bottlenecks, Kose added, "Global supply chain was resilient in the early phase of the pandemic but as new strains emerged in 2021, and now we are witnessing a strong demand that has not been matched by similar supply due to pandemic related factory and port shutdown and whether induced logistical bottlenecks and that led to the semiconductor and chipping shortage."