United Nations, Oct 9: Global trade tensions may lead to an acute slowdown in economic activity, UN Undersecretary-General for Economic and Social Affairs Liu Zhenmin said.
Global trade tensions continue to escalate, Liu Zhenmin told the UN General Assembly's Second Committee on Monday, which is in charge of economic and financial affairs, Chinese News agency, Xinhua reported.
While the direct impact on trade flows remains limited, world trade growth has eased to about 4 percent in 2018 after expanding by more than 5 per cent in 2017, said Liu. A prolonged episode of uncertainty in the global trade arena has the potential to severely impact business and consumer confidence, asset prices, and investment behavior.
This can lead to a sharp slowdown in economic activity, he warned.UNI