Sluggish world growth and a series of high-profile corporate collapses are on the cards in 2019, top economists warn
Sluggish world growth and a series of high-profile corporate collapses are on the cards in 2019, top economists warn.
Stock markets will continue to be volatile and the global economy could even tip over into recession this year, the Centre for Economics and Business Research claimed in its list of predictions for the year ahead.
However, the think-tank said countries will probably take action to prevent this happening and that, on balance, weak oil prices would boost growth.
The global economy could even tip over into recession this year, the Centre for Economics and Business Research claimed in its list of predictions for the year ahead.
The lethargic economy combined with the impact of technology – including job losses as a result of automation – will lead to ‘high-profile corporate collapses around the world’, it said.
It even warned that several banks across the globe would have to raise extra money to stay afloat, raising the spectre of more taxpayer bailouts.
Australia’s lenders are especially at risk, partly thanks to a burst property bubble.
Meanwhile, in the UK, it predicted that economic growth could be sluggish at best for the first part of the year.
It added: ‘If Brexit indecision ends there’ll probably be a boost to investment that has been blocked as a result of Brexit uncertainty.’