World economy is headed for a recession in 2023, say experts

The Centre for Economics and Business Research (CEBR) predicted that the world will experience a recession in 2023, Bloomberg reported. According to research, a global recession will start in 2023. A number of economies contract as a result of new borrowing costs introduced to combat inflation.
 
The world economy surpassed $100 trillion for the first time in 2022, according to the British consultancy's annual World Economic League Table, but will stall in 2023 as policymakers keep fighting against rising prices.
 
"It's likely that the world economy will face recession next year as a result of the rises in interest rates in response to higher inflation." says Kay Daniel Neufeld, director and head of Forecasting at CEBR.
 
"The battle against inflation is not won yet. We expect central bankers to stick to their guns in 2023 despite the economic costs. The cost of bringing inflation down to more comfortable levels is a poorer growth outlook for a number of years to come," the report added.
 
The researcher's conclusions are more pessimistic than the IMF's most recent forecast. According to Bloomberg, that organisation issued a warning in October predicting that more than a third of the global economy will contract and that there is a 25% chance that global GDP will grow by less than 2% in 2023, which it defines as a global recession.
 
By 2037, as developing economies catch up to the wealthier ones, the global gross domestic product will have doubled. By 2037, the East Asia and Pacific region will account for over a third of global output, while Europe's share will fall to less than a fifth due to the shifting power dynamics, according to Bloomberg.
 
The Centre for Economics and Business Research bases its predictions of growth, inflation, and exchange rates on data from the IMF's World Economic Outlook and an internal model.
 
 
According to the study, India will have a $10 trillion economy by 2035 and the third-largest economy overall by 2032.