OECD slashes global economic outlook on Russia-Ukraine war

By KELVIN CHAN
AP Business Writer

LONDON (AP) — The Organization for Economic Cooperation and Development says Russia’s war in Ukraine and the energy and food crises it worsened will severely drag down global economic growth and push up inflation this year. The Paris-based group on Wednesday said China’s “zero-COVID” policy that has scrambled manufacturing supply chains also is weighing on a world economy that was starting to rebound from the COVID-19 pandemic. It’s the latest institution to slash its growth forecast, underscoring the dimming economic outlook. The OECD expects the global economy to expand 3% in 2022, down from the 4.5% it predicted in December. Inflation is forecast at nearly 9% for the OECD’s 38 member countries, nearly double the previous estimate.