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The World Bank has forecasted the international economy to shrink in 2009 for the first time since World War Two.
In a paper for next Saturday’s meeting of the G20 finance ministers and central bank governors, the World Bank said global economic growth would be at least 5 percentage points below potential, with global industrial production to fall as much as 15 per cent from 2008 levels.
“World trade is on track in 2009 to record its largest decline in 80 years, with the sharpest losses in East Asia,” the Bank said in a statement released yesterday.
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