Experts named three main economic shocks of 2022

Experts analyze the events of the outgoing year, noting the most harmful stresses for the global economy. In addition to the ongoing pandemic and the crisis around Ukraine, analysts have identified three main consequences that have become the most serious for the world in 2022.

UNCONTROLLED GROWTH OF INFLATION AROUND THE WORLD

This year, inflation has become one of the most important economic problems in many developing and developed countries. To date, inflation rates reaching about 10% have become an extremely negative factor affecting purchasing power in many European countries. 

In addition, with rising inflation, an increasing number of world central banks have decided to raise interest rates. And although such a policy is aimed at curbing inflation in many countries, at the same time there is a slowdown in economic growth and stagnation, which has a negative impact primarily on employment and living standards.

ENERGY CRISIS

Another problem facing the world in 2022 is the security of energy supply, and this problem will be significant next year. Alternative energy sources have come to the fore in European countries and a new period of increasing the share of renewable energy in total energy consumption has begun. This happened as a result of attempts by European countries to abandon energy resources from Russia.

GENERAL ECONOMIC DOWNTURN

Thus, the result of the economic crisis, which began with COVID-19, as well as the increase in interest rates, was a slowdown in global economic growth. During the year, the world's leading economies faced a sharp decline in their GDP and key indicators in the leading areas of production and services.

Therefore, one of the most important directions of economic policy in many countries will be to increase economic activity next year.