Value of world trade slumps
World trade figures for 2015 remained weak, according to the latest world trade monitor released by Dutch statistics office CPB, reinforcing concerns of the health of the world economy.
The decline was partly driven by a slowdown in Asia, where exports dropped from 4.8% in 2014 to 0.2% in 2015, while exports from Africa and the Middle East increased from 4.1% to 30.2% Yoy. US exports dropped from 3.2% to -0.9% compared to the previous year, while Euro area exports grew from 1.9% to 2.5%.
The picture was much more pronounced when looking at the value of goods crossing borders in US dollar terms. Compared to 2014, the US dollar value of goods dropped from -2% to 13.8%.
The news comes as another key indicator for the health of the global trade, the Baltic Dry Index, measuring the cost of moving raw materials by sea, has falled dramatically. Compared to the previous year, the index has falled by almost 40%.
The IMF currently expects economic growth to pick up from 3.1% in 2015 to 3.4% in 2016.