In 2022 global growth rate will be half of what it was in 2021, the World Bank estimates.
The decline is caused by soaring prices of energy raw materials, mineral fertilizers, food and metals, higher interest rates and disruption of logistical chains caused by the war in Ukraine.
In the coming years, the WB believes, the growth rate will also be lower and inflation higher than usual. It is already clear that a number of economies will go into recession. Should one expect a long-term stagflation much like the protracted crisis of the 1970s that halted economic growth of multiple nations for a decade?