The World Bank slashed global economic growth forecasts on Tuesday citing heightened trade tensions and policy uncertainty.
The turmoil resulted in lower growth forecasts in nearly 70 percent of all economies across all regions and income groups, according to the latest bi-annual Global Economic Prospects report issued on Tuesday.
The report cut the 2025 global economic growth forecast to 2.3 percent from 2.7 percent in January, 2025 with the 2026 growth forecast lowered to 2.4 percent from 2.7 percent.
Advanced economies are expected to see an expansion of 1.2 percent in 2025, down from 1.7 percent in earlier forecasts while the growth forecast with emerging market and developing economies was lowered by 0.3 percentage points to 3.8 percent in 2025.
In particular, the United States is expected to grow by 1.4 percent in 2025, 0.9 percentage points less than previous forecast and only half of the 2.8 percent growth in 2024.
Both the Euro Area and Japan are expected to grow 0.7 percent this year, 0.3 percentage points and 0.5 percentage points lower from previous estimates, respectively, while China's growth forecasts for both 2025 and 2026 remain unchanged.
The world economy is once more running into turbulence while a "soft landing" appeared to be in sight only six months ago, said the report.
"Without a swift course correction, the harm to living standards could be deep," warned the report.
The global economy is expected to see a tepid recovery in 2026 and 2027 but world output would remain materially below projections made in January 2025.
World Bank cuts global growth forecasts on trade barriers, policy uncertainty
World Bank cuts global growth forecasts on trade barriers, policy uncertainty
Visiting Chinese Foreign Minister Wang Yi said Saturday China is willing to work with Lesotho to strengthen exchanges on governance experience, enhance coordination in multilateral affairs, and advance the China-Lesotho strategic partnership.
Wang, also a member of the Political Bureau of the Communist Party of China Central Committee, made the remarks when meeting with Lesotho Prime Minister Sam Matekane in the capital of Lesotho.
During the meeting, Wang congratulated Lesotho on the 60th anniversary of its independence this year, and spoke highly of Lesotho government's efforts to prioritize economic development and steer the African country onto a path of sustainable growth. Since the Beijing Summit of the Forum on China-Africa Cooperation (FOCAC) in 2024, the two sides have advanced cooperation under the 10 partnership action plans unveiled at the summit, successfully implementing a number of key projects to effectively promote Lesotho's development and revitalization, Wang said.
China stands ready to work with Lesotho to strengthen exchanges on governance experience, enhance coordination in multilateral affairs, and push for greater development of the China-Lesotho strategic partnership, he added.
Calling on the two sides to firmly support each other, Wang said that China will accelerate the implementation of its zero-tariff policy for African countries, including Lesotho, expand bilateral trade, investment and industrial cooperation, facilitate broader access of Lesotho's specialty products to the Chinese market, and continue to support Lesotho's national development.
China will continue to stand firmly with African countries, uphold justice for the Global South, including Lesotho, oppose unilateralism and acts of bullying, and work together to build a community with a shared future for humanity, Wang said.
On his part, Matekane said during the meeting that Lesotho cherishes its friendship with China and the strategic partnership between the two countries, and expressed gratitude for China's valuable support for the development of African countries, including Lesotho.
Lesotho firmly adheres to the one-China principle and resolutely supports China in safeguarding its core interests, he said, noting that his country stands ready to strengthen strategic mutual trust with China, expand people-to-people exchanges, jointly implement the outcomes of the FOCAC Beijing Summit, and deepen cooperation in areas such as infrastructure, manufacturing and energy.
Matekane stressed that China's zero-tariff policy for African products will inject new impetus into Lesotho's development. He also expressed Lesotho's willingness to strengthen solidarity and cooperation with China on multilateral platforms such as BRICS to jointly address global challenges.
On the same day, Wang also held talks with Lejone Mpotjoana, minister of foreign affairs and international relations of Lesotho.
China, Lesotho to strengthen exchanges, advance cooperation
China, Lesotho to strengthen exchanges, advance cooperation
