This article delves into key global data points, analyzing the US presidential race, China’s economic stimulus, Russia’s war-torn economy, rising global public debt, and the continued climate crisis. It explores the potential impact of these developments on India and the global stage.
The International Monetary Fund (IMF) has projected that France will drop out of the world’s top 10 economies by 2029 due to sluggish economic growth. The fund’s latest outlook predicts France’s contribution to global economic growth will decline, with its budget deficit remaining above 4% and public debt exceeding 115% of GDP. In contrast, the UK is expected to become the tenth largest economy while Türkiye is poised to take ninth place.
France and Belgium are facing increasing risks of sovereign credit downgrades due to escalating fiscal deficits and debts. Scope Ratings has highlighted the urgency for action, emphasizing the post-crisis fiscal strain in Europe. The International Monetary Fund’s projections indicate a deteriorating debt situation for France, raising concerns about a potential downgrade later this year. The widening fiscal disparities among euro area sovereigns have further heightened the concerns.
