Experts have been providing pessimistic prognoses about the global economy predicting an inevitable recession. However, these expectations were not met. Moreover, analysts at Morgan Stanley believe that the world’s economy is on its way to recovery. According to estimates, in the first quarter of 2020, global economic growth will start to accelerate. Easing trade tensions between the US and China and dovish monetary policy will become the main drivers for positive changes. Emerging markets are expected to help boost the global economy. Experts at Morgan Stanley predict global economic growth of 3.2% next year compared to 3% by the end of 2019. Much will depend on the outcomes of US-China trade talks. In case Trump’s administration decides to impose a new round of tariffs in mid December, global growth will slow down to 2.8% delaying the recovery until the third quarter of 2020, Morgan Stanley reports.
