According to Credit Suisse, Goldman Sachs and other major financial institutions, global growth is seen to accelerate in 2017.
CNBC reported that analysts at Credit Suisse raised their global growth forecast for 2017 to 2.8% from 2.6%. In 2016, global economic growth is seen at 2.4%
Experts say global economy is expanding after a two-year slowdown.
Meanwhile, Jan Hatzius from Goldman Sachs was even more optimistic saying the world’s GDP growth will stand at a 3.5% next year.
Gregory Daco, analyst at Oxford Economics, said the US economy is expected to advance in the third quarter on the back of rising consumer spending. According to him, the US GDP growth rate will double to 2.7% from the second quarter. However, the fourth-quarter GDP growth is projected at only 2%.
Economists say negative factors are waning. Thus, emerging economies, some of which are dependent on crude exports, got momentum from partial oil prices recovery.
In the meantime, Goldman Sachs said the biggest risk in the short-term stems from political factors, not from economic ones. Particularly, the upcoming US presidential election weighs on growth.
