WASHINGTON, June 7, 2016 - The World Bank is downgrading
its 2016 global growth forecast to 2.4 percent from the 2.9 percent pace
projected in January. The move is due to sluggish growth in advanced economies,
stubbornly low commodity prices, weak global trade, and diminishing capital
flows.
Brazil is forecast to contract
4 percent in 2016, and its recession is expected to carry over into 2017, amid
attempts at policy tightening, rising unemployment, shrinking real incomes and
political uncertainty.
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