The tentative post-pandemic recovery was derailed in 2022 as the global economy was confronted by a rare convergence of misfortunes, triggered largely by the unprecedented war in Ukraine which has escalated into a costly humanitarian crisis. Following a sharp rebound in global growth of 6.1 percent in 2021, growth is estimated by the International Monetary Fund (IMF) to slow to 3.2 percent in 2022, consequent to a more uncertain outlook which the IMF has characterized as overly tilted to the downside.

According to the IMF, Emerging and Developing Europe will be the weakest performing economy for 2022, contracting by 1.6 percent largely on account of a deep economic decline in Russia (-6.0 percent). Growth in Advanced Economies will decelerate to 2.5 percent in 2022 from 5.2 percent in 2021 due to lower growth in the United Kingdom, Euro Area and the United States. Latin America and the Caribbean is forecast to record lower growth of 3.0 percent (from 6.9 percent in 2021), due to challenges stemming from tightening global financial conditions and social tensions due to energy and food insecurities, which further threaten growth prospects. Growth in Emerging and Developing Asia is estimated at 4.6 percent