Going for growth

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The past years have been dominated by shocks and crises that have profoundly changed societies and economies. GDP growth is projected to remain below trend in both 2023 and 2024, although it will gradually pick up through 2024 as inflation moderates and real incomes strengthen. Going for Growth 2023 outlines structural reform priorities for OECD and partner countries that can help set long-term growth on a stronger and more sustainable path.

Key findings:

• Potential growth is weak and requires supply-side reforms

• Comprehensive policy action is needed to put emissions on a downward path

• Tackling gender inequality can help remedy current labour market tightness

Discover what governments can do.

Global GDP growth prospects in 2023 and 2024 are lackluster and the outlook for medium-term growth remains weak. Reviving potential growth and improving the quality of economic growth will require governments to undertake ambitious supply-boosting structural reforms.

While most OECD countries have set ambitious climate targets, policies currently in place are likely to be insufficient to put greenhouse gas emissions on a downward path before 2030, making the goal of net-zero emissions by mid-century challenging to attain. Reaching decarbonisation by mid-century will require structural changes across the economy, notably through substantial reallocation of workers and capital from emission-intensive activities towards greener activities.

While progress has been made, the employment rate for women still lags that of men, and gender pay gaps remain prominent across many OECD countries. Gender gaps in labour market participation can often be traced back to barriers or incentives related to the provision of childcare and parental leave, as well as the design of tax and benefit systems. Addressing such barriers can not only boost gender equality, but also provide a remedy to the current labour markets tightness and widespread labour shortages.