IHS predicts the global economy will hold steady in 2013. (Picture used under license from Shutterstock.com © donskarpo.)
IHS predicts the global economy will hold steady in 2013. (Picture used under license from Shutterstock.com © donskarpo.)

In its Top 10 Economic Predictions for 2013, released by IHS chief economist Nariman Behravesh in December, IHS notes that this "cautiously upbeat outlook" is based on the expectations that:

  1. the massive monetary stimulus put in place in many key economies over the past year and a half will have some positive impact on growth; and
  2. that the current episode of 'extreme uncertainty' – related to the US fiscal cliff, the Eurozone debt crisis, China’s growth and instability in the Middle East and Africa – will become less intense and that worries about many of these risks will diminish.

IHS' top 10 economic predictions for 2103

  1. The US recovery will gradually pick up steam;
     
  2. European growth will be weak in the north and negative in the south;
     
  3. China’s economy will slowly gain momentum;
     
  4. Other emerging markets will also show signs of life;
     
  5. Commodity prices will move sideways again;
     
  6. Inflation will remain tame;
     
  7. Central banks will mostly be in wait-and-see mode;
     
  8. Fiscal policy will stay tight or become tighter;
     
  9. The US dollar will be stronger against the euro and flat against the rest;
     
  10. The risks facing the global economy will be more balanced.

     

Read the predictions in detail here.