EIU revises global GDP up to 2.5% for 2024

The Economist Intelligence Unit (EIU) has revised its global real GDP growth forecast for 2024 to 2.5%, up from 2.4%, indicating resilience against high interest rates and geopolitical risks.

The upward revision includes US growth adjusted to 2.2% from 2%, euro area growth to 1% from 0.8%, and Brazil to 2.1% from 1.8%. The EIU anticipates reduced future monetary policy loosening, with changes in rate cuts by central banks. It forecasts more economic fragmentation and inefficient supply chains due to industrial policies.

Despite these challenges, the global economy shows resilience, especially the robust US economy, with moderate recovery expected in Europe and China, and emerging markets benefiting from firm commodity demand.