(Yicai Global) Dec. 31 -- Global economic growth will come in at higher-than-expected 2.9 percent next year although prolonged downward pressures will hinder a bigger jump, according to a Chinese government-backed research institution.
The Chinese Academy of Social Sciences and Social Sciences Academic Press published the gross domestic product forecast, along with a relatively stable labor market outlook, in a report yesterday.
In June, the World Bank predicted global economic growth to be 2.7 percent next year, and 2.6 percent this year.
Developed economies' GDP growth has slowed down to 1.7 percent this year from last year's 2.3 percent, said Yao Zhizhong, deputy director general of the world economics bureau under the CASS. Emerging economies will log a reading of 3.9 percent, down from 4.5 percent, Yao added.
Over the past year, the US unemployment rate has been 3.5 percent, the lowest since the 1970s. Things look good elsewhere too. Eurozone's 7.5 percent is the thinnest rate since the inception of the European Union. Japan's 2.4 percent is also historically low.
Argentina, Venezuela, and Turkey have been some of the biggest laggards among the world's emerging economies whereas China and Russia have had relatively stable job markets despite their slowing economic growth.
Volatility has hit emerging economies' currency markets. Argentina's peso depreciated by a whopping 35 percent over the year, Brazil's real by 7.5 percent and India's rupee by 2.8 percent.
Editor: Emmi Laine