Page 6 - FIPI - Policy Economic Report - May 2025
P. 6
POLICY AND ECONOMIC REPORT
OIL & GAS MARKET
Economy in Focus
1. A snapshot of the global economy
Global economic growth
? Gross domestic product in the Organization for Economic Cooperation and Development (OECD)
region rose by 0.1% in the first quarter of 2025, significantly down from an 0.5% rise in the
previous quarter, according to provisional estimates released by OECD.
? The overall GDP growth rate also slowed for the G7 in Q1 2025, from 0.4% to 0.1%, reflecting a
mixed picture among G7 countries. GDP contracted in Japan and the United States, from 0.6% in
both countries to -0.2% and -0.1%, respectively.
o In Japan, imports of goods increased by 2.4% in Q1 2025, compared with a contraction
of 1.6% in Q4 2024. In the United States, imports of goods increased sharply by 10.8% in
Q1, compared with a contraction of 1.3% in Q4.
o The rise in US imports of goods, likely influenced by anticipated changes to trade
tariffs, was the main drag on growth. Growth also slowed in Canada, from 0.6% to 0.4%.
? By contrast, growth accelerated significantly in the United Kingdom, from 0.1% to 0.7%, mainly
driven by increases in investment (2.9% in Q1, after a contraction of 0.6% in Q4) and exports of
goods (5.6% in Q1, after a contraction of 7.3% in Q4).
Figure 1: GDP (quarter on quarter change in %)
Source- OECD -Statistics News release- May 2025 Page | 5
May 2025
