Real global economic growth for 2019 would fall short of the 2.6% rate predicted in June, amid an environment of low or negative yields, which signal that growth weakness may persist, World Bank Group President David Malpass said.
In a speech in Washington, D.C., Malpass said dollar GDP growth in nominal terms is projected to fall to under 3% in 2019 from 6% in 2017 and 2018.
Malpass said the slowdown in global growth is broad-based, noting "substantial downturns" in Argentina, India and Mexico, as well as recession fears in Europe.
He raised concerns about the impact of more than $15 trillion of bonds locked into low or negative yields, saying the "frozen capital" implies slower future growth.
Meanwhile, Malpass warned that slow economic expansion and sluggish investment in developing countries could lead to a rise in poverty across several countries. The World Bank president called for policies to deliver broad benefits for growth, investment and living standards.
