Markets in a Minute
Mapped: Inflation Projections by Country, in 2024
Inflation Projections, by Country in 2024
Global economic prospects hang on a delicate balance, largely hinging on the path of inflation.
While inflation looks to be easing, there remains the risk of a second wave of price pressures driven by geopolitical conflicts and supply disruptions in the Red Sea. Adding to this, a stronger than expected labor market could drive consumer demand, pushing up higher prices.
This graphic shows 2024 inflation projections around the world, based on forecasts from the International Monetary Fund (IMF).
Is Global Inflation On a Downward Path?
In 2024, global inflation is projected to decline to 5.8%, down from a 6.8% estimated annual average in 2023.
Tighter monetary policy and falling energy prices are forecast to dampen price pressures alongside a cooling labor market. Below, we show inflation projections across 190 countries:
| Country | Projected Annual Inflation Change 2024 |
|---|---|
| 🇻🇪 Venezuela | 230.0% |
| 🇿🇼 Zimbabwe | 190.2% |
| 🇸🇩 Sudan | 127.3% |
| 🇦🇷 Argentina | 69.5% |
| 🇹🇷 Türkiye | 54.3% |
| 🇪🇬 Egypt | 25.9% |
| 🇦🇴 Angola | 25.6% |
| 🇮🇷 Iran | 25.0% |
| 🇧🇮 Burundi | 22.4% |
| 🇸🇱 Sierra Leone | 21.7% |
| 🇸🇷 Suriname | 20.0% |
| 🇪🇹 Ethiopia | 18.5% |
| 🇵🇰 Pakistan | 17.5% |
| 🇳🇬 Nigeria | 15.4% |
| 🇲🇼 Malawi | 15.2% |
| 🇬🇭 Ghana | 15.0% |
| 🇾🇪 Yemen | 15.0% |
| 🇲🇳 Mongolia | 12.8% |
| 🇭🇹 Haiti | 12.7% |
| 🇺🇿 Uzbekistan | 10.7% |
| 🇹🇳 Tunisia | 10.6% |
| 🇹🇲 Turkmenistan | 10.0% |
| 🇺🇦 Ukraine | 10.0% |
| 🇲🇬 Madagascar | 8.6% |
| 🇰🇬 Kyrgyz Republic | 8.0% |
| 🇿🇲 Zambia | 7.9% |
| 🇲🇺 Mauritius | 7.8% |
| 🇬🇳 Guinea | 7.8% |
| 🇰🇿 Kazakhstan | 7.5% |
| 🇧🇩 Bangladesh | 7.2% |
| 🇲🇲 Myanmar | 7.2% |
| 🇸🇹 São Tomé and Príncipe | 7.2% |
| 🇬🇲 The Gambia | 7.1% |
| 🇨🇩 Democratic Republic of the Congo | 7.1% |
| 🇩🇿 Algeria | 6.8% |
| 🇹🇯 Tajikistan | 6.5% |
| 🇳🇵 Nepal | 6.5% |
| 🇰🇪 Kenya | 6.5% |
| 🇲🇿 Mozambique | 6.5% |
| 🇹🇴 Tonga | 6.2% |
| 🇸🇸 South Sudan | 6.1% |
| 🇱🇷 Liberia | 6.0% |
| 🇺🇾 Uruguay | 5.7% |
| 🇻🇺 Vanuatu | 5.6% |
| 🇵🇱 Poland | 5.5% |
| 🇬🇾 Guyana | 5.5% |
| 🇷🇼 Rwanda | 5.5% |
| 🇭🇺 Hungary | 5.4% |
| 🇳🇦 Namibia | 5.3% |
| 🇬🇶 Equatorial Guinea | 5.2% |
| 🇧🇹 Bhutan | 5.1% |
| 🇦🇿 Azerbaijan | 5.0% |
| 🇯🇲 Jamaica | 5.0% |
| 🇱🇸 Lesotho | 5.0% |
| 🇲🇩 Moldova | 5.0% |
| 🇷🇺 Russia | 5.0% |
| 🇺🇬 Uganda | 5.0% |
| 🇳🇮 Nicaragua | 4.8% |
| 🇵🇬 Papua New Guinea | 4.7% |
| 🇷🇴 Romania | 4.7% |
| 🇬🇹 Guatemala | 4.6% |
| 🇼🇸 Samoa | 4.5% |
| 🇿🇦 South Africa | 4.5% |
| 🇸🇰 Slovak Republic | 4.5% |
| 🇨🇴 Colombia | 4.5% |
| 🇮🇳 India | 4.4% |
| 🇧🇼 Botswana | 4.4% |
| 🇸🇿 Eswatini | 4.3% |
| 🇱🇻 Latvia | 4.3% |
| 🇭🇳 Honduras | 4.2% |
| 🇳🇷 Nauru | 4.2% |
| 🇧🇪 Belgium | 4.0% |
| 🇮🇸 Iceland | 4.0% |
| 🇹🇿 Tanzania | 4.0% |
| 🇰🇮 Kiribati | 4.0% |
| 🇲🇷 Mauritania | 4.0% |
| 🇵🇾 Paraguay | 4.0% |
| 🇷🇸 Serbia | 4.0% |
| 🇩🇴 Dominican Republic | 4.0% |
| 🇦🇲 Armenia | 4.0% |
| 🇧🇷 Brazil | 3.9% |
| 🇸🇴 Somalia | 3.9% |
| 🇹🇻 Tuvalu | 3.8% |
| 🇧🇴 Bolivia | 3.8% |
| 🇧🇾 Belarus | 3.7% |
| 🇨🇲 Cameroon | 3.7% |
| 🇽🇰 Kosovo | 3.7% |
| 🇪🇪 Estonia | 3.6% |
| 🇧🇧 Barbados | 3.6% |
| 🇸🇧 Solomon Islands | 3.6% |
| 🇦🇱 Albania | 3.6% |
| 🇦🇺 Australia | 3.4% |
| 🇪🇸 Spain | 3.4% |
| 🇵🇭 Philippines | 3.4% |
| 🇻🇳 Vietnam | 3.4% |
| 🇲🇦 Morocco | 3.3% |
| 🇸🇮 Slovenia | 3.3% |
| 🇦🇹 Austria | 3.2% |
| 🇭🇷 Croatia | 3.2% |
| 🇨🇬 Republic of Congo | 3.2% |
| 🇳🇴 Norway | 3.2% |
| 🇸🇬 Singapore | 3.2% |
| 🇲🇽 Mexico | 3.2% |
| 🇹🇩 Chad | 3.1% |
| 🇲🇪 Montenegro | 3.1% |
| 🇱🇹 Lithuania | 3.1% |
| 🇨🇷 Costa Rica | 3.0% |
| 🇰🇭 Cambodia | 3.0% |
| 🇮🇹 Italy | 3.0% |
| 🇨🇱 Chile | 3.0% |
| 🇬🇪 Georgia | 3.0% |
| 🇬🇼 Guinea-Bissau | 3.0% |
| 🇮🇶 Iraq | 3.0% |
| 🇱🇦 Lao P.D.R. | 3.0% |
| 🇫🇲 Micronesia | 3.0% |
| 🇩🇲 Dominica | 2.9% |
| 🇸🇪 Sweden | 2.8% |
| 🇩🇪 Germany | 2.8% |
| 🇬🇷 Greece | 2.7% |
| 🇲🇾 Malaysia | 2.7% |
| 🇮🇪 Ireland | 2.6% |
| 🇯🇵 Japan | 2.6% |
| 🇫🇯 Fiji | 2.6% |
| 🇲🇭 Marshall Islands | 2.6% |
| 🇬🇩 Grenada | 2.6% |
| 🇺🇸 United States | 2.6% |
| 🇵🇹 Portugal | 2.6% |
| 🇮🇱 Israel | 2.6% |
| 🇧🇸 The Bahamas | 2.6% |
| 🇯🇴 Jordan | 2.6% |
| 🇱🇾 Libya | 2.5% |
| 🇳🇿 New Zealand | 2.5% |
| 🇧🇯 Benin | 2.5% |
| 🇩🇰 Denmark | 2.5% |
| 🇩🇯 Djibouti | 2.5% |
| 🇸🇲 San Marino | 2.5% |
| 🇹🇱 Timor-Leste | 2.5% |
| 🇮🇩 Indonesia | 2.5% |
| 🇦🇬 Antigua and Barbuda | 2.5% |
| 🇳🇪 Niger | 2.5% |
| 🇨🇫 Central African Republic | 2.5% |
| 🇵🇸 West Bank and Gaza | 2.5% |
| 🇲🇻 Maldives | 2.4% |
| 🇲🇹 Malta | 2.4% |
| 🇳🇱 Netherlands | 2.4% |
| 🇸🇨 Seychelles | 2.4% |
| 🇬🇧 United Kingdom | 2.4% |
| 🇬🇦 Gabon | 2.4% |
| 🇰🇳 St. Kitts and Nevis | 2.3% |
| 🇭🇰 Hong Kong SAR | 2.3% |
| 🇲🇰 North Macedonia | 2.3% |
| 🇦🇪 UAE | 2.3% |
| 🇹🇹 Trinidad and Tobago | 2.3% |
| 🇶🇦 Qatar | 2.3% |
| 🇵🇦 Panama | 2.2% |
| 🇸🇦 Saudi Arabia | 2.2% |
| 🇵🇪 Peru | 2.2% |
| 🇨🇾 Cyprus | 2.2% |
| 🇨🇿 Czech Republic | 2.2% |
| 🇹🇬 Togo | 2.2% |
| 🇧🇬 Bulgaria | 2.2% |
| 🇦🇼 Aruba | 2.2% |
| 🇨🇦 Canada | 2.1% |
| 🇧🇦 Bosnia and Herzegovina | 2.1% |
| 🇱🇨 St. Lucia | 2.1% |
| 🇦🇩 Andorra | 2.0% |
| 🇧🇫 Burkina Faso | 2.0% |
| 🇨🇻 Cabo Verde | 2.0% |
| 🇨🇮 Côte d'Ivoire | 2.0% |
| 🇰🇷 Korea | 2.0% |
| 🇲🇱 Mali | 2.0% |
| 🇻🇨 St. Vincent and the Grenadines | 2.0% |
| 🇨🇭 Switzerland | 1.9% |
| 🇵🇷 Puerto Rico | 1.9% |
| 🇨🇳 China | 1.9% |
| 🇫🇮 Finland | 1.9% |
| 🇫🇷 France | 1.9% |
| 🇹🇼 Taiwan | 1.8% |
| 🇵🇼 Palau | 1.8% |
| 🇹🇭 Thailand | 1.8% |
| 🇱🇺 Luxembourg | 1.7% |
| 🇸🇻 El Salvador | 1.7% |
| 🇲🇴 Macao SAR | 1.7% |
| 🇴🇲 Oman | 1.7% |
| 🇰🇲 Comoros | 1.6% |
| 🇧🇳 Brunei Darussalam | 1.5% |
| 🇪🇨 Ecuador | 1.5% |
| 🇧🇭 Bahrain | 1.4% |
| 🇧🇿 Belize | 1.2% |
| 🇸🇳 Senegal | 0.3% |
Venezuela, with the largest oil reserves globally, is projected to see inflation reach 230%—the highest overall.
Across the last decade, the country has faced hyperinflation, reaching a stunning 10 million percent in 2019. Since U.S. sanctions were lifted last year, inflation has fallen dramatically due to sharp cuts in government spending and increasing dollarization of the economy, which is bolstering the bolivar.
In America, slower economic growth coupled with a softening labor market could ease inflation, which is forecast to reach 2.6% in 2024. While the Federal Reserve has signaled that the worst is over, unexpected momentum across the economy could cloud the outcome. As of November 2023, $290 billion in excess savings were held across American households, which may continue to spur consumer demand.
Over in Europe, inflation is anticipated to average 3.3% across advanced economies. Today, sinking natural gas prices and low GDP growth are keeping inflation expectations at bay.
China, the world’s second-largest economy, is contending with falling prices due to property market trouble, which drives about a third of the country’s economic growth. Amid sluggish economic activity, a manufacturing slowdown, and low consumer confidence, inflation is forecast to reach 1.7%.
What Could Cause Inflation to Re-Accelerate?
While inflation shocks driven from the pandemic appear to be over, key risks could drive up inflation:
- Geopolitical Pressures: Rising shipping costs due to the conflict in the Middle East and Red Sea could continue to escalate and energy prices could increase amid disrupted supply, driving inflation higher.
- Strong Consumer Demand: Accumulated excess savings could continue to fuel economies, leading central banks to remain hawkish. Persistently high wage growth—which increased about double the pre-pandemic average across advanced nations in 2023—could boost consumption and higher prices.
- Rising Housing Costs: Shelter makes up about a third of the Consumer Price Index, the biggest component overall. If prices accelerate, it presents key inflationary risks. As of January 2024, U.S. shelter costs increased 6% annually.
So far, the global economy has been resilient. While risk factors remain, inflation projections suggest that the path towards a 2% target is slow, but going in the right direction.
Markets in a Minute
The Top 5 Reasons Clients Fire a Financial Advisor
Firing an advisor is often driven by more than cost and performance factors. Here are the top reasons clients ‘break up’ with their advisors.
The Top 5 Reasons Clients Fire a Financial Advisor
What drives investors to fire a financial advisor?
From saving for a down payment to planning for retirement, clients turn to advisors to guide them through life’s complex financial decisions. However, many of the key reasons for firing a financial advisor stem from emotional factors, and go beyond purely financial motivations.
We partnered with Morningstar to show the top reasons clients fire an advisor to provide insight on what’s driving investor behavior.
What Drives Firing Decisions?
Here are the top reasons clients terminated their advisor, based on a survey of 184 respondents:
| Reason for Firing | % of Respondents Citing This Reason | Type of Motivation |
|---|---|---|
| Quality of financial advice and services | 32% | Emotion-based reason |
| Quality of relationship | 21% | Emotion-based reason |
| Cost of services | 17% | Financial-based reason |
| Return performance | 11% | Financial-based reason |
| Comfort handling financial issues on their own | 10% | Emotion-based reason |
Numbers may not total 100 due to rounding. Respondents could select more than one answer.
Numbers may not total 100 due to rounding. Respondents could select more than one answer.
While firing an advisor is rare, many of the primary drivers behind firing decisions are also emotionally driven.
Often, advisors were fired due to the quality of the relationship. In many cases, this was due to an advisor not dedicating enough time to fully grasp their personal financial goals. Additionally, wealthier, and more financially literate clients are more likely to fire their advisors—highlighting the importance of understanding the client.
Key Takeaways
Given these driving factors, here are five ways that advisors can build a lasting relationship through recognizing their clients’ emotional needs:
- Understand your clients’ deeper goals
- Reach out proactively
- Act as a financial coach
- Keep clients updated
- Conduct goal-setting exercises on a regular basis
By communicating their value and setting expectations early, advisors can help prevent setbacks in their practice by adeptly recognizing the emotional motivators of their clients.
Markets in a Minute
The Top 5 Reasons Clients Hire a Financial Advisor
Here are the most common drivers for hiring a financial advisor, revealing that investor motivations go beyond just financial factors.
The Top 5 Reasons Clients Hire a Financial Advisor
What drives investors to hire a financial advisor?
From saving for a down payment to planning for retirement, clients turn to advisors to guide them through life’s complex financial decisions. However, many of the key reasons for hiring a financial advisor stem from emotional factors, and go beyond purely financial motivations.
We partnered with Morningstar to show the top reasons clients hire a financial advisor to provide insight on what’s driving investor behavior.
What Drives Hiring Decisions?
Here are the most common reasons for hiring an advisor, based on a survey of 312 respondents.
| Reason for Hiring | % of Respondents Citing This Reason | Type of Motivation |
|---|---|---|
| Specific goals or needs | 32% | Financial-based reason |
| Discomfort handling finances | 32% | Emotion-based reason |
| Behavioral coaching | 17% | Emotion-based reason |
| Recommended by family or friends | 12% | Emotion-based reason |
| Quality of relationship | 10% | Emotion-based reason |
Numbers may not total 100 due to rounding. Respondents could select more than one answer.
While financial factors played an important role in hiring decisions, emotional reasons made up the largest share of total responses.
This illustrates that clients place a high degree of importance on reaching specific goals or needs, and how an advisor communicates with them. Furthermore, clients seek out advisors for behavioral coaching to help them make informed decisions while staying the course.
Key Takeaways
With this in mind, here are five ways advisors can provide value to their clients and grow their practice:
- Address clients’ emotional needs early on
- Demonstrate how you can offer support
- Use ordinary language
- Provide education to help clients stay on track
- Acknowledge that these are issues we all face
By addressing emotional factors, advisors can more effectively help clients’ navigate intricate financial decisions and avoid common behavioral mistakes.
The Top 5 Reasons Clients Fire a Financial Advisor
The Top 5 Reasons Clients Hire a Financial Advisor
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