The Bank then sends pessimistic expectations: the global economy will shrink 2.9% this year

The last few months has been on the world economy to sing "white face" of the World Bank Monday recurrence pessimistic expectations. According to the latest in a row, the global economic contraction increases this year will be further reduced to 2.9%, previously expected 1.7%. The World Bank, international capital flows to fall as a result, factors such as the emerging economies, the growth rate will decline sharply, however, excluding China and India.

At 22, published the 2009 global development finance: global recovery roadmap report, the World Bank released a more pessimistic expectations. Report is expected this year, the global GDP will shrink 2.9%, compared with March, the expected negative 1.7% lowered further. Which, over the past two years for outstanding emerging economies will fire the collective "dumb", is expected to only grow 1.2%.

The Bank warned that the world is entering a period of slow growth, which would require States to the financial system more stringent and more effective regulation. The report pointed out in particular that the global recession and financial crisis, the emerging economies, a heavy blow. World Bank data, last year net private capital flows to developing countries has been removed from the 2007 1.2 trillion high sharply down to $ 7070, 2009 that figure is expected to decline further to 3630 million.

Affected by factors such as capital inflows declined as a result, the World Bank estimates that this year in developing economies of economic growth will substantially below last year's 5.9% and 8.1% in 2007. Report is expected, if not including China and India, this year's developing economy will drop 1.6%, unemployment and poverty will increase further.

For developed economies, the Bank believes that Korea is expected to become the fastest in the OECD recovery. World Bank Vice President and Chief Economist, Lin yifu 22 in Seoul that benefited from Korea solid macro-economic structure and close economic and trade relations between China and Korea's economic growth will be negative this year from 3% to 3.5%, but with the gradual warming of the world economy, the strong upturn in Korea, the economy is expected to 2011 to reach its economic growth rate of 4% to 5%.

By contrast, the IMF continued to play the role of the "red". In a meeting last week, the IMF "in charge" Lipski implied that the organization may further increase on global economic growth is expected.

For 2010, the Bank expects the world economy will gradually recovering, the 2010 global GDP is expected to grow by 2%, 2011 will 3.2 percent. Which, in developing economies rebound faster, its economic growth rate in 2010 will reach 4.4%, 2011 will rise to 5.7%.

Although global forecasts have relatively large differences, but for the Chinese economy is expected but coincidentally bias optimistic.

Last week, the World Bank released ahead of the Chinese economy. Of these, the Bank will China GDP growth forecasts for 2009 to 7.2%, while the previous report, the World Bank forecast 2009 GDP will grow by 6.5%. In addition, the Bank will also have its 2010 growth expected from 7.5% to 7.7%.

For India, the World Bank also increases the country this year and next year's growth is expected. The latest forecast growth this year, the previously expected 5.1 4.0%; India's growth next year is expected to 8.0%, previously 7.0%.

Nomura international publish Asia Wirtschaftswoche yesterday to announce on the growth of China's 2010 is expected to increase sharply from 8.5% to 10%, while maintaining the growth of 8% this year is expected to remain unchanged.