Lagging investment and high debt levels endanger global growth
Paris — Global economic growth is set to peak at an eight-year high next year as uninspiring investment and increasingly dangerous debt levels limit room for further improvement, the OECD said on Tuesday. The global economy is on course to grow 3.6% this year before reaching 3.7% next year then ease back to 3.6% in 2019, the Organisation for Economic Co-operation and Development (OECD) said in its latest outlook. The Paris-based policy forum nudged up its estimate for this year from 3.5% in its last forecasts dating from September, and left its 2018 projection unchanged. "Things look really good now, but unless we see some robust private sector activity and renewal of capital stock, generating higher real wages, we are not going to maintain the growth rates we see today," OECD chief economist Catherine Mann told Reuters "There is still work to be done. We’re still resting a bit comfortably on the incoming data, which have been supported by fiscal and monetary policy," she said. Mann...
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