World economic growth is projected to slow to 2.7% in 2025, down from 2.9% in 2024, Anadolu Agency reported citing a forecast released by the International Institute of Finance (IIF) on Wednesday.<\/p>\n\n\n\n
The IIF anticipates that the average GDP growth rate for mature markets will decrease to 1.3% in 2025, compared to 1.5% in 2024. Specifically, the growth outlook for the United States is set at 1.9%, while the euro area is expected to see just 0.6%. In contrast, emerging markets (EMs) are forecasted to grow by 3.8%, with Russia at 1.7%, T\u00fcrkiye at 2.5%, and China at 4.2%.<\/p>\n\n\n\n
The institute also predicts a drop in capital flows to EMs, estimating them to fall to $716 billion in 2025 from $944 billion in 2024, primarily due to reduced inflows to China. In 2024, China experienced its first net foreign direct investment outflows in decades, with a similarly bleak outlook for 2025. Capital flows to non-China EMs are expected to decrease to $781 billion in 2025 from $824 billion in 2024. Additionally, geopolitical tensions and U.S. energy policies are likely to create uncertainty in commodity prices.<\/p>\n","protected":false},"excerpt":{"rendered":"
World economic growth is projected to slow to 2.7% in 2025, down from 2.9% in 2024, Anadolu Agency reported citing a forecast released by the International Institute of Finance (IIF) on Wednesday. The IIF anticipates that the average GDP growth rate for mature markets will decrease to 1.3% in 2025, compared to 1.5% in 2024. …<\/p>\n","protected":false},"author":33,"featured_media":115400,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"rop_custom_images_group":[],"rop_custom_messages_group":[],"rop_publish_now":"initial","rop_publish_now_accounts":{"facebook_108372464460192_245495985553329":""},"rop_publish_now_history":[],"rop_publish_now_status":"pending","footnotes":""},"categories":[9240],"tags":[11573,11571],"class_list":["post-115399","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-world-economy","tag-deceleration-of-economic-growth","tag-iif-projection"],"yoast_head":"\n