OECD announces global economic growth of 3.5% for 2017

APD NEWS

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The global economy is set to grow 3.5% this year before nudging up to 3.6% in 2018, the Paris-based Organization for Economic Cooperation and Development (OECD) forecast on Wednesday.

OECD Secretary-General Angel Gurria said that while recovering trade and investment flows were supporting the improving economic outlook, barriers in the form of protectionism and regulation needed to be lifted to ensure stronger growth.

The organization warned fellow members of economic inequalities rising from unfettered globalization and leading to the progress of populist movements.

The small pick-up in global growth expected this year is insufficient to reduce inequalities around the world, the OECD said, as it called on nations to launch remedial reforms.

"We need a more inclusive, rules-based globalization that works for all, centered on people's well-being," said Gurria.

The OECD also updated its country growth forecasts. It cut its outlook for US economic growth by three tenths of a point to 2.1% after a weak first quarter. Meanwhile, the growth forecast for the Eurozone increased by two tenths of a point to 1.8%, led by Germany with 2.0% growth.

It raised its forecast for China by a tenth of a point to 6.6%, as it did for India to 7.3%. The OECD confirmed its forecast that Brazil would escape recession this year. It now sees the nation posting 0.7% growth instead of its earlier forecast of 0.3%.

(CGTN)