Distinguished guests, ladies and gentlemen,
I¡¯m pleased to welcome you to the launch of the World Economic Situation and Prospects Report 2025.
This flagship report is prepared by DESA - in partnership with UNCTAD, the five UN regional commissions and the UN Tourism Organization. I would like to take this opportunity to express our sincere thanks for their contributions.
At the outset, let me share one key observation before I go into details. Our current assessment indicates that the world economy has largely avoided a broad-based contraction despite the unprecedented shocks of the last few years, and the most prolonged period of monetary tightening in recent history.
For 2025, we project a global growth of 2.8 per cent, similar to 2024.
Lower inflation, monetary easing, and the recovery of international trade underpin this relatively stable outlook.
Nevertheless, we note that this rate remains well below the pre-pandemic average of 3.2 per cent, recorded over 2010-2019.
The recovery remains uneven, driven primarily by a few large economies.
Subdued growth prospects pose significant challenges, particularly for developing countries.
Growth in over 90 per cent of the least developed countries is projected to fall short of the 7 per cent target needed for the achievement of many SDGs.
Several structural factors, including high debt burdens, limited fiscal space, weak investment and low productivity growth continue to hinder economic prospects for developing countries.
Climate change and geopolitical tensions, with their potential for spilling over into economic performance, pose additional risks.
Despite these challenges, our report highlights concrete pathways in which countries can work, both individually and in collaboration, to place the world on a more robust path towards sustainable development.
Addressing debt challenges, curbing illicit financial flows, and strengthening domestic resource mobilization can increase public revenues for investing in the SDGs.
For many countries, the rising global demand for minerals critical for the energy transition presents an unique opportunity to stimulate growth, create jobs, and reduce poverty and inequality.
History also reminds us that such opportunities must be carefully managed.
Supporting developing countries in leveraging these resources effectively, balancing economic benefits with the imperatives of inclusive social development and environmental sustainability, can accelerate SDG progress not just in these countries but across the world.
Distinguished guests,
The World Economic Situation and Prospects Report 2025 is a call to action rooted in its evidence-based analysis of the current state of the economy as well as short-term forecasts.
Urgent actions are needed to address the debt sustainability challenges in many countries; to close the gaps in technology, financing, and infrastructure that hinder equitable growth; and to ensure that an accelerated energy transition reduces climate risks for all.
The challenges we face are complex, but the solutions are within our reach ¨C if we work together.
I trust this report will serve as an insightful resource, offering guidance towards building a more inclusive, resilient, and sustainable global economy.
Now I invite my colleagues to share further details of the report.
Thank you.