The United Nations Conference on Trade and Development (UNCTAD) lowered its global gross domestic product (GDP) forecast for 2022 from 3.6% to 2.6%.
In the agency’s new report, world growth estimates were hit by downside risks to supply and demand, compounded by the situation in Ukraine.
"On the supply side, persistent disruptions will continue to hamper economic activity,” it said. "At the same time, macroeconomic tightening will weaken demand while rising prices will erode real incomes and dampen investor confidence."
It estimated that the Russian economy will contract 7.3% in 2022. It was predicted to expand 2.3% in a report in September. It is the largest revision among forecasts.
GDP forecast for the EU was 1.6%, down from 3.3%, while the eurozone forecast was also lowered from 3.4% to 1.7%.
Among eurozone economies, the report's estimates for Germany and France were 1.4% and 2.4%, respectively, while they were 3.2% and 3.4%.
US GDP estimate was 2.4% for 2022, down from 3%. while it was 4.8% for China, down from 5.7%.
The estimate for Turkey was 2.5% for 2022, down from 3.6%.
