ALGIERS (Pakistan Point News / Sputnik - 23rd September, 2018) The Organization of the Petroleum Exporting Countries (OPEC) expects the annual global economy growth to stand at 3.4 percent between 2017 and 2040, with developing countries as main drives of the GDP boost, according to its World Oil Outlook 2040 published on Sunday.
"Global gross domestic product (GDP) between 2017 and 2040 is expected to increase at an average annual rate of 3.4%. This is slightly lower than the WOO 2017 assumption, mainly due to the expectation of less dynamic long-term labour market developments. Most of the growth until the end of the forecast period will be determined by labour productivity," the OPEC report presented in Algiers said.
According to the organization, the economic growth will mainly be driven by developing countries, while the Organisation for Economic Co-operation and Development (OECD) region is expected to see weaker growth due to declining working age population and a slow increase in labor productivity.
The report states that OECD's GDP will show yearly growth of merely 1.8 percent until 2040, while the developing countries will show robust growth of 4.5 percent a year.
"The potential rise of considerable protectionism is threatening the strong pick-up in growth that the global economy experienced in 2017 and 2018," OPEC also warned.
