Global economic outlook Q2 2023: improving outlook defies rising downside risks
The outlook for the global economy is improving but growth remains soft this year. Services are driving the global recovery while manufacturing is soft. After reopening, China's recovery is on course. In the US, a banking mini-crisis and the debt ceiling conundrum are increasing uncertainty. India tops global growth prospects. Elsewhere, Europe proves resilient once again. We expect core economies in Europe to avoid recession. Latin America is another soft spot. Finally, risks are increasing again and tilting back to the downside.