Global economy to grow steadily

Abstract

The Bank of Finland foresees global growth strengthening relative to 2016 and continuing at a rate over 3% in 2017–2019. Improved confidence in both the United States and more broadly will reinforce favourable developments over the short term. Economic growth in the EU22 (euro area, United Kingdom, Sweden and Denmark) and the United States will remain fairly rapid throughout the forecast horizon. Growth in China will slow in an orderly manner, thus dampening global activity towards the end of the forecast period. Oil price increases will push up inflation in 2017 but will simultaneously support the recovery of the Russian economy.