Eshini Ekanayake is a Senior Economist in the United States Division of the International Economic Analysis Department. Prior to joining the Bank, Eshini worked as an Economic Analyst at the Asian Development Bank and as a Consultant at the World Bank. Eshini holds an MSc in Economic Policy from University College London (UCL).
This note presents the annual update of Bank of Canada staff estimates for growth in global potential output. These estimates serve as key inputs to the analysis supporting the April 2024 Monetary Policy Report.
We expect global potential output growth to increase from 2.5% in 2022 to 2.8% by 2026. Compared with the April 2022 staff assessment, global potential output growth is marginally slower. The current range for the US neutral rate is 2% to 3%, unchanged from the last annual assessment.
We expect global potential output growth to increase from 2.7% in 2021 to 2.9% by 2024. Compared with the April 2021 assessment, global potential output growth is marginally slower. The current range for the US neutral rate is 2% to 3%, 0.25 percentage points higher than staff’s last assessment.
