World Bank Downgrades Its Forecast for 2016 Global Economy
by Paul Wiseman, AP Economics Writer
WASHINGTON (AP) — The World Bank is reducing its forecast for the global economy this year — again.
The aid agency predicted Tuesday that the world economy will expand 2.4 percent this year, down from the 2.9 percent it expected in January and unchanged from a tepid 2015.
“The global economy is fragile,” said World Bank economist Ayhan Kose, who helped produce the forecast. “Growth is weak.”
In the years since the world began recovering from the 2008 financial crisis, the World Bank and the International Monetary Fund have repeatedly proved too optimistic about the world economy and have had to downgrade their previous forecasts.