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WB Report: Global Economic Prospects 2009

10.12.2008 The stresses in U.S. financial markets that first emerged in the summer of 2007 transformed themselves into a full-blown global financial crisis in the fall of 2008. As the crisis intensified, the effects of financial turmoil on developing countries increased in step, as risk aversion sent spreads soaring, equity markets tumbling, exchange rates falling and capital flows into decline. In this climate, growth prospects for both high-income and developing countries have deteriorated substantially, and a movement of global growth from 2.5 percent in 2008 to 0.9 percent in 2009 appears to be in the cards.
The report’s complete projections can be found on a companion website, http://www.worldbank.org/globaloutlook, which is available in English, Chinese, French, and Spanish.

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