Global Economy Recovering: World Banking Elite

12 March 2002

Having beaten off the menace of recession, the global economy has begun to grow again – that’s the message from the monthly meeting of the Bank for International Settlements in Basle, Switzerland.

Chairing the assembly of the world’s central bankers, Bank of England governor Sir Edward (‘Steady Eddie’) George announced: “We are seeing a recovery in the world economy,” though he added that “we do not know how strong it is going to be.”

Caution over the pace of expansion reflects the economic climate in areas such as the Eurozone, where, said George, output is no longer falling but growth is sluggish.

The Bank of England boss received more good news this week as several surveys pointed to growth in Britain’s economy.

Allaying fears of a post-January decline in consumer expenditure, the British Retail Consortium/KPMG monitor recorded an 8.6% year-on-year rise in sales for February, up from the 8.3% increase the previous month. In addition, exports rose 4.1% in January, the sharpest increase for seventeen months, while manufacturing prices remained stable.

Data sourced from: The Times (London); additional content by WARC staff