2024 is going to be another year of uncertainty for the global economy. This year, geopolitical conflicts, strict investment conditions and artificial intelligence will have a negative impact on business. As a result, the world economy will pass the year through stagnant growth.
This information comes out in the World Economic Forum (WEF) survey. The WEF publishes this information with the views of more than 60 leading economists worldwide. Meanwhile, the five-day annual conference of the WEF has begun at the Swiss resort of Davos, Switzerland.
Artificial intelligence will increase inequality around the world, says survey. AI will significantly boost productivity in high-income countries over the next five years. Also, AI will be used in low-income countries.
About 56 percent of economists surveyed this year expect the overall global economy to weaken in 2024. Regional conflicts will increase. Moderate to strong growth in China and the US, but weak or very weak growth in Europe.
However, economists have given positive forecasts for South Asia, East Asia and the Pacific region. They expect at least moderate growth in these regions in 2024. The interest rates of the world’s leading central banks are at their highest, experts said. 70 percent of economists surveyed expect inflation to fall and unemployment to rise.
The survey revealed that AI will have a negative impact on the global economy. Economists say AI will increase inequality around the world. 94 percent of economists expect AI to significantly boost productivity in high-income economies over the next five years. However, 53 percent of economists believe that AI will increase production even in low-income economies.
The WEF conducted a separate survey on the economic growth of 107 countries. The results of this survey show that the growth of most countries is not environmentally sustainable and socially neutral.
The WEF said growth needs to be redefined, which will help balance the economy with social, environmental and other priorities.