Economic Overview
The global economy is envisaged to have grown by 3.1 percent in 2015 albeit at a slower pace compared to 3.4 percent in 2014. According to the International Monetary Fund (IMF), the modest expansion was led by improvements in advanced economies relative to 2014, against the China-led slowdown in emerging markets and developing economies. Lower commodity prices and increased financial market volatility were additional key concerns for the global economy in 2015.
International Economic Developments
World economic growth decelerated to 3.1 percent in 2015 from the 3.4 percent growth in 2014.
The modest and uneven recovery in advanced economies, coupled with subdued growth in emerging and developing economies particularly China, falling commodity prices, increased financial volatility and geopolitical tensions were the key contributors to subdued world economic activity.
For Fiji’s major trading partner economies, better performances were noted in the United States (US), the Euro zone and Japan, whereas Australia and New Zealand recorded positive albeit lower economic growth outcomes.1