world trade organization The World Trade Organization (WTO) on Thursday marginally raised its global trade growth forecast for 2024 to 2.7 percent, saying there remain substantial downside risks from rising geopolitical tensions. In its previous forecast released in April, WTO had said that global trade could increase by 2.6 percent this year. However, the Geneva-based 166-member multilateral body cut its forecast for next year to three percent from 3.3 percent earlier. The WTO said in its Global Trade Outlook report that rising geopolitical tensions and increasing uncertainty over economic policy continue to pose substantial downside risks to the forecast.
Boom in economies like Singapore, Malaysia, India and Vietnam
The report says, “Global merchandise trade is projected to grow by 2.7 percent in 2024, slightly higher than the previous estimate of 2.6 percent.” According to the report, this is due to major manufacturing economies like China, Singapore and South Korea. Asia’s exports witnessed a strong surge in the first half of 2024. The WTO said China’s growth remains moderate. Whereas economies like Singapore, Malaysia, India and Vietnam are booming.
India’s exports increased by 1.14% during April-August
This shift points to their emerging role in linking economies and trading with different geopolitical groups. According to the report, the outlook for services trade is more favorable than goods in terms of key indicators. India’s exports increased by 1.14 percent to $178.68 billion during April-August this financial year. While imports increased by seven percent to $295.32 billion. During this period, India’s trade deficit stood at $116.64 billion which was $99.16 billion in the same period a year ago.
