The global economic recovery remains fragile and uneven, according to the latest assessment from the Organisation for Economic Co-operation and Development (OECD). The OECD’s report highlights concerns about slower growth in emerging markets, particularly China, and persistent weakness in the Eurozone.

Key Concerns

• Emerging Markets: The slowdown in emerging markets, especially China, poses a significant risk to global growth.
• Eurozone Weakness: The Eurozone continues to struggle with low inflation and weak demand.
• Investment: Investment remains weak in many countries, hindering long-term growth potential.

Policy Recommendations

The OECD urges governments to take action to strengthen the recovery. Key recommendations include:

• Structural Reforms: Implementing structural reforms to boost productivity and competitiveness.
• Investment: Increasing public and private investment in infrastructure and innovation.
• Monetary Policy: Maintaining accommodative monetary policies to support demand.

Outlook

The OECD forecasts moderate global growth in the coming years, but warns that the risks are tilted to the downside. The organization emphasizes the need for coordinated policy action to ensure a sustainable and inclusive recovery.