ifo World Economic Climate Improves Considerably

ifo World Economic Climate Improves Considerably

The ifo World Economic Climate has improved considerably. The indicator rose in the first quarter of 2018 from 17.1 to 26.0 points, soaring to its highest level since autumn 2007. Experts assessed the current economic situation far more positively than last quarter. Their economic expectations also showed an exceptional improvement. The worldwide upswing consolidated in the first quarter.

The climate improved in all regions of the world. Both assessments of the current economic situation and expectations rose particularly sharply in the USA, the European Union and in emerging and developing countries in Asia. In Latin America assessments of the current situation improved significantly, but expectations deteriorated slightly.

According to experts, short and long-term interest rates will rise in the next six months. They expect world trade to pick up significantly. The price level increase in the world economy is expected to gather impetus in the months ahead.

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