The economy is losing momentum

India will need to adjust to slowing global trade

The latest projection by the World Trade Organization (WTO) strengthens the view that evolving economic and geopolitical conditions would dampen global trade. Global merchandise trade volumes are expected to lose momentum in the second half of the current year and slow further in 2023. While growth in merchandise trade volumes is expected to be at 3.5 per cent in 2022, it would moderate to about 1 per cent in 2023. This is significantly lower than the earlier estimate of 3.4 per cent growth. A number of reasons can be attributed to this expected slowdown in trade. In Europe, for example,