A mixture of the improving health situation, relaxing of restrictions and ongoing aggressive policy support allowed the global economy to expand by around 6.1%. In order to revive the global economy from the devastating impact of the coronavirus pandemic, policymakers injected enormous doses of fiscal and monetary “medicine”. As we look towards 2022, we anticipate above-trend global growth as the recovery phase plays out. The question for investors is how quickly the fiscal and monetary policy remedy will be withdrawn, and whether the patient, or global economy, can stand again unaided? The fading of the one-off boost from economies reopening and reduced impact from fiscal support, will weigh on year-on-year comparisons.

Source: The North Africa Journal December 30, 2021 13:55 UTC