World Bank: ‘The global economy is perilously close to falling into recession’

Is the World Bank the ultimate bear?

The organization released its latest report on global economic prospects. The forecasts are not good.

According to the World Bank, the global economy is expected to grow by just 1.7 percent, which is down from three percent in the previous projection.

This would be the third-worst performance, with the 2009 and 2020 economic collapses still the largest declines.

“Global growth has slowed to the extent that the global economy is perilously close to falling into recession,” the World Bank said.

“Weakness in growth and business investment will compound the already devastating reversals in education, health, poverty, and infrastructure and the increasing demands from climate change.”

What about the United States?

World Bank economists think the U.S. will avoid a recession this year, but growth would just be 0.5 percent, matching the Federal Reserve’s expectations.

This comes soon after the International Monetary Fund’s Kristina Georgieva warned that a third of the global economy would slip into a recession this year.