How will the global economic environment in 2024 impact the banking industry?

ANSWER:

The banking industry in 2024 is expected to face challenges due to a slowing global economy and a landscape marked by higher interest rates, a reduced money supply, assertive regulations, climate change, and geopolitical tensions. Banks will need to navigate multiple disruptive forces while managing costs and generating income in new ways. Global inflation is predicted to decrease to 5.2%, with advanced economies experiencing tepid growth. The International Monetary Fund forecasts a world economy growth of no more than 3.0%, with India expected to see one of the strongest growth rates at 6.3%. On the other hand, China may experience an economic slowdown impacting global recovery efforts. Central banks globally are anticipated to fine-tune their monetary policies to address these issues, with varying approaches to interest rates across different countries​​.