Lou Jiwei, the head of $300 billion sovereign health fund head believes that the global economy will witness a slowdown or worse even a recession in 2012.
Lou said that major economies will change their pro growth policies thus affecting the economic growth. Oil will continue to hurt as the crisis in Middle East and North Africa continues.
The situation in US will remain more or less the same but Europe will see a slowdown due to declining domestic demand and the ongoing sovereign debt crisis.
Developing economies fighting to contain inflation will further raise their interest rates and let their currencies to strengthen. This will impact the growth in these countries.
Lou said that major economies will change their pro growth policies thus affecting the economic growth. Oil will continue to hurt as the crisis in Middle East and North Africa continues.
The situation in US will remain more or less the same but Europe will see a slowdown due to declining domestic demand and the ongoing sovereign debt crisis.
Developing economies fighting to contain inflation will further raise their interest rates and let their currencies to strengthen. This will impact the growth in these countries.
No comments:
Post a Comment