Geopolitical tensions are a worry but threats to growth lie elsewhere
JAMIE THOMPSON
According to the IMF it is too early to say how events in Israel will affect the global economy but businesses are already concerned.
Early evidence from the latest Oxford Economics Global Risk Survey suggests that business sentiment has been shaken by the crisis. Businesses now perceive a weaker growth outlook than in last month’s survey. The risk of very weak activity is also thought to have increased. Geopolitical tensions are identified as the single greatest threat to the global economy.
Concerns extend well beyond Israel, however. About a third of businesses judge that developments in the Middle East represent a very significant risk to the global economy in the near-term but unease over China-Taiwan relations is even more widespread. A key fear is that
