The World Trade Organization has revised its outlook for global goods trade, indicating a slight increase in growth for this year. The Geneva-based organization now projects a 2.7% rise in global goods trade in 2023, up from the 2.6% forecasted earlier in April. Looking ahead to 2024, the WTO anticipates a growth rate of 3%, slightly lower than the previous forecast of 3.3%. In 2022, world merchandise trade volume experienced a decline of 1.1%, primarily due to high inflation and rising interest rates.
Despite the upward revision in the trade outlook, the WTO has highlighted significant risks to its forecast. Geopolitical tensions and economic policy uncertainties are cited as key factors that could potentially impact global trade dynamics. The organization emphasized that these factors pose substantial downside risks to the projected growth trajectory.
