Global economy rebounds, but for how long?

Global economy rebounds, but for how long?

WASHINGTON: The world economy woke up from its pandemic-induced coma in 2021, but soaring inflation, global supply chain bottlenecks and a resurgent coronavirus have taken the shine off the comeback. Now growth is at risk of weakening next year.

Here is a look at the state of the global economy:

Uneven recovery

Countries have posted impressive growth figures as they clawed their way out of the depths of the 2020 Covid-induced recession, but some are faring better than others as wealthier countries have had better access to vaccines. The United States has overcome its worst downturn since the Great Depression while the eurozone’s economy could return to pre-pandemic levels by the end of the year. But a resurgence of the coronavirus could scupper the recovery, with the emergence of the Omicron variant raising new concerns.

“COVID-19 will remain a public health threat, particularly in countries where vaccination rates remain low,” said analysts at Moody’s credit ratings agency. With a 2.5 percent vaccination rate, the economy of sub-Saharan Africa is growing at a slower click, according to the International Monetary Fund. Most emerging and developing countries should remain far behind their pre-pandemic forecasts by 2024, the IMF says.

Central banks in Brazil, Russia and South Korea