This report contains analysis and projections of economic developments and policies in member countries, of developments in international financial markets, and of the global economic system. It finds that the global economy is at a critical juncture, with significant internal and external imbalances and vulnerabilities. Major policy shifts are underway, generating a new wave of uncertainties with potentially significant implications for the functioning of the global economy.

After the global economy appeared to have stabilised, the landscape has changed as governments around the world reorder policy priorities and uncertainties have climbed to new highs. Forecasts for global growth have been revised markedly down, reflecting effective tariff rates to levels not seen in a century and a highly unpredictable environment. 

At this critical juncture, countries should work constructively to promote a stable and predictable trade environment and to facilitate international cooperation, while addressing policy gaps and structural imbalances at home. This will help secure both internal and external economic stability. 

Report structure

• Executive summary
• Chapter 1: global prospects and policies
• Chapter 2: the rise of the silver economy – global implications of population aging
• Chapter 3: journeys and junctions – spillovers from migration and refugee policies 

Key insights

• Intensifying downside risks dominate the outlook, amid escalating trade tensions and financial market adjustments.
• Divergent and swiftly changing policy positions or deteriorating sentiment could lead to even tighter global financial conditions.
• Ratcheting up a trade war and heightened trade policy uncertainty may further hinder both short-term and long-term growth prospects.
• Scaling back international cooperation could jeopardize progress toward a more resilient global economy.
• As the global population ages, economies worldwide are experiencing significant demographic shifts with profound implications.