G20 economic growth edges up to 0.7% in third quarter

The G20 nations' collective GDP growth accelerated slightly to 0.7% in the third quarter of 2023, a marginal increase from 0.6% in the previous quarter, as per the latest data from the Organization for Economic Cooperation and Development (OECD). This uptick in the July-September period marks a modest but steady growth trajectory for the global economy.

Notably, China and the United States both recorded a growth of 1.3% in this period, a significant jump from their 0.5% growth in April-June. Mexico's economy also saw an increase, climbing to 1.1% compared to 0.9% in the earlier quarter. Italy experienced a turnaround, recovering from a 0.4% contraction to a growth of 0.1%. Korea’s economy remained stable with a 0.6% growth, consistent with the previous quarter.

However, the growth was uneven across the G20. Countries like Saudi Arabia and Turkey experienced a weakening in their economic performance. Saudi Arabia’s GDP contracted by 3.2%, a sharp decline from a 0.5% decrease in the second quarter, mainly due to a slump in oil activities. Turkey’s growth slowed considerably to 0.3%, down from 3.3% in the preceding period, affected by a decrease in private consumption. Other nations, including Japan, Canada, South Africa, France, and Germany, also faced contractions of varying degrees.

On an annual basis, the G20’s GDP growth moderated to 2.9% in the third quarter, slowing from 3.6% in the second quarter. India led the group with a robust 7.0% growth over the last four quarters, while Saudi Arabia recorded the largest decline with a 3.6% fall.