Macroeconomics

Dearth of internal investment and political instability is slowing down the growth of Western Europe and will dampen its recovery. The combined effects of deflation and recession along with high unemployment rate remain critical areas of concern.

North American countries had outperformed expectations in H1 2014. GDPs of the United States and Canada will continue to grow at an average rate of 2 to 2.5 percent in the latter half of 2014. Improved regional trade, strong industrial performance, and higher consumer spending are likely to boost economic growth of the region in the short run. Falt...

Despite slow economic expansion in the advanced economies in the first quarter of 2014, emerging Asian economies are expected to record moderate to robust growth rate throughout 2014, primarily driven by improved domestic demand conditions, higher foreign direct investment growth, and investment in infrastructure. Relatively stable oil prices and d...

BRICS economies witnessed a massive slowdown in early 2014 owing to various domestic instabilities and are unlikely to return to pre-financial crisis growth levels in the near future. From a short-term perspective, the sluggish recovery in the US and in the Eurozone, production slowdowns in China, political conflicts in Russia, deteriorated busines...

Economies of the Rest of World (RoW) countries are expected to grow moderately in H2 2014 as they gradually revive from the global economic slowdown. In Australia, investments in non-mining sectors are low and there are signs of contraction. A modest growth in manufacturing is expected to drive growth marginally in Argentina. An improved business ...

North America’s GDP growth recovered strongly in H1 2014, due to improved domestic demand, reduced fiscal restraints in the United States, and increase in Canadian exports. Manufacturing and energy are likely to remain the primary growth sectors of the region in H2 2014. Faltering emerging market performance is expected to increase FDI flows into...

Western Europe is expected to pick up a growth momentum in the latter half of 2014 but this trend will be uneven across the region, thanks to high inflation, high unemployment, and the political instability that is prevalent in some major countries. The manufacturing sector is expected to pick up growth due to high production of petroleum, rubber, ...

A gradual recovery in the Euro area has catalyzed an improvement in growth among the countries in Emerging Europe. Improvements in external demand, coupled with a rebounding domestic demand, are expected to drive growth in H2 2014. Regional central banks are also maintaining interest rates at relatively low levels, trying to match steps with the Eu...

Growth forecasts in 2013 were constantly upgraded or downgraded due to the long-lasting effects of debt in Europe, and stronger performances from the United States and the United Kingdom. Emerging global economies were also beginning to feel the effects of the easing of the US monetary policy; this led to volatility in capital markets globally. For...