In 2018, the world economy continued to grow across all regions. According to the International Monetary Fund (IMF), global GDP climbed by 3.7 percent. Growth was thus on par with the year before. Initially, economic researchers projected higher growth rates, but revised them down during the year given the mounting risks.
Advanced economies saw expansion dampened by increasing uncertainty due to trade conflicts and by deepening political and geopolitical crises. Growth in many parts of Europe and in Japan lagged the rates of previous years. In the USA, that trend was offset by the domestic economy’s strength.
In developing and emerging economies, GDP rose markedly in some cases. Commodity-exporting countries, such as Russia and Brazil, benefited from higher exports. Growth in India accelerated amid strong domestic demand. According to the Asian Development Bank (ADB), infrastructure programs and structural reforms had a favorable impact there. In China, the economy was likewise supported by strong domestic demand, even though growth slowed slightly. At 6.6 percent, GDP expansion was still above the original expectations of Beijing, which had targeted 6.5 percent.