Nordic Outlook - January 2023

The United States and Europe are headed towards a mild recession in early 2023. The inflation outlook has improved, and the likelihood of a deep downturn has diminished. But last year’s aggressive policy reversal by central banks is slowing the recovery and increasingly appears to be the main downside risk to growth. We are revising our global GDP growth forecast slightly higher in 2022 and 2023, to 3.3 and 2.5 per cent, respectively, while lowering our 2024 forecast to 3.3 per cent.