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LATEST NEWS UPDATES | Global recession increasingly likely as cost of living soars: WEF survey

Global recession increasingly likely as cost of living soars: WEF survey

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published Published on Sep 28, 2022   modified Modified on Sep 29, 2022

-PTI/ The Hindu Business Line

The survey showed that food security could be at risk over the next three years

A global recession is becoming increasingly likely due to stubbornly high inflation and real wages continuing to fall, the World Economic Forum said on Wednesday, citing a survey of chief economists from across the world.

According to the WEF Chief Economists Outlook report, real wages are expected to continue falling across the world in 2022-2023 and the cost of living crisis is threatening social unrest, though inflationary pressures are expected to ease in the next year.

The survey showed that food security could be at risk across large swathes of the globe over the next three years.

Referring to rising concerns about food security triggering export restrictions, which risk exacerbating global supply disruptions, the report said India, the world’s largest rice exporter, introduced a ban on exports of broken rice and a 20 per cent export duty on other grades of rice.

"Given that the stability of rice prices in 2022 was instrumental in preventing a fully-fledged global food crisis, the prospect of higher rice prices could spell potential emergency conditions in already stressed regions," it added.

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PTI/ The Hindu Business Line, 28 September, 2022, https://www.thehindubusinessline.com/economy/global-recession-increasingly-likely-as-cost-of-living-soars-wef-survey/article65947460.ece


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