Economic Experts Expect Decline in Inflation Worldwide
Economic experts from around the world expect inflation rates to decline in the years ahead, finds the Economic Experts Survey, a quarterly survey conducted by the ifo Institute and the Swiss Economic Policy Institute. According to this survey, the inflation rate worldwide will reach 5.0 percent in 2024, then 4.4 percent next year, and 3.6 percent in 2027. In the US, inflation for this year is expected to reach 3.2 percent, in the UK 4.3 percent, and in Ireland 3.0 percent. “Compared to last year, inflation expectations for this year are significantly lower,” says ifo researcher Niklas Potrafke. Germany will have a rate of 3.4 percent.
Inflation expectations for 2024 are well below the worldwide average in Western Europe (3.1 percent) and North America (3.2 percent); they are 0.2 and 0.1 percentage points lower compared with the survey last quarter. For 2027, experts still expect 2.1 percent inflation in Western Europe and 2.4 percent in North America.
Among the regions with particularly high inflation expectations are South America (29.1 percent) and large parts of Africa. A total of 1,431 economic experts from 124 countries participated in the survey from December 7 to December 21, 2023.
Note: The figure shows the expected global average inflation rates for the years 2024 (5.0%), 2025 (4.4%), and 2027 (3.6%). The median of the averages at the country level is shown.
