Global growth at 2.6 %, India's strong public investment outlays, services beneficial

India was one of the 'large gear China, Indonesia, the Russian Federation, the United States, among others - which escaped the financial trouble that loomed earlier in the year 2023 thus emerging as a stakeholder in the world economic growth of 2.7 per cent, just 0.2 percentage point more than the threshold of 2.5 per cent that is often associated with a global recessionary phase.

This also happened as the risks that threatened to substantially slow down global economic growth in 2023 remained subdued, and as a result of which, the UN Trade and Development (UNCTAD) report update said on Wednesday.

The report warns of further growth deceleration in 2024, citing falling investments and subdued global trade dynamics which are expected to slow down global growth to 2.6 per cent in 2024, slightly slower than in 2023. This makes 2024 the third consecutive year in which the global economy will grow at a slower pace than before the pandemic, when the average rate for 2015-2019 was 3.2 per cent. The report finds policy discussions continuing to centre on inflation, conveying confidence that anticipated monetary easing will heal the world's economic woes.