Economic review
Chilly winter in Europe
The great uncertainty created by the war in Ukraine keeps pushing up inflation and causes restraint among businesses and consumers in Europe. Europe’s economy showed slightly positive growth in the first half of 2022. Economists believe this growth declined to around 0% in Q3 and will be somewhat below 0% over the next six months. A recession, in other words.
US on the mend?
In contrast to the European economy, the US economy was in fact (technically) in a state of recession in the first half of 2022. In the third quarter, however, the economy seems to have performed slightly better. Economists also expect slightly positive economic growth in the coming quarters.
Chinese economy recovered?
The Chinese economy seems to have recovered after a decline in economic growth in the first half of the year, caused by ongoing Covid lockdowns. For FY2022, China’s growth rate is expected to be a shade below 3.5%. For China this amounts to a recession – before Covid, Chinese economic growth had never been less than 5% for decades.