The daily business briefing: June 8, 2022

World Bank warns of global recession risk, Target cleans house, and more

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1. World Bank: 'Recession will be hard to avoid' for most countries

Global economic growth will slow before the end of 2022, and most countries should begin preparing for a recession, the World Bank said in an economic forecast released Tuesday. "For many countries, recession will be hard to avoid," wrote World Bank president David Malpass. "Several years of above-average inflation and below-average growth are now likely," he added, "with potentially destabilizing consequences for low- and middle-income economies. It's a phenomenon — stagflation — that the world has not seen since the 1970s." At the beginning of 2022, the World Bank predicted the world economy would grow 4.1 percent. After the Russian invasion of Ukraine, that number has been revised downward to 2.9 percent.

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