Fitch Downgrades Global Economic Growth Forecast

International credit rating agency Fitch Ratings published the June edition of its Global Economic Outlook Report with the title “Oil Price Shock Hits Global Growth Expectations”, Anadolu news agency reported.

The agency noted in the report that it downgraded the global economic growth forecast for this year by 0.2 points to 2.4% due to rising oil prices, and it expected the world economy to grow by 2.5% next year.

The report highlighted that the forecasts generally saw a decline because high inflation reduced real wages, curbed consumption and increased input costs for companies.

Fitch stated in its report that the stronger-than-expected momentum in artificial intelligence investments mitigated the impact of the oil shock on global economic activity, and this situation supported world trade and Asia's exports.