The World Bank continues to see a bleak outlook for global growth by lowering projections for most countries.
Global gross domestic product (GDP) may grow just 1.7% this year, about half the 3% forecast made in June.
This would be the third worst performance in three decades after contractions in 2009 and 2020, according to the organization.
The adjustment also saw a significant downgrade to its outlook for the US economy which was forecast to record growth of just 0.5% from the initial estimate of 2.4%.
While China's growth forecast was also reduced from 5.2% to 4.3%, Japan from 1.3% to 1%, Europe and Central Asia declined from 1.5% to 0.1%.
The World Bank says global growth has slowed to the point where the global economy is on the verge of falling into recession.
The rapid tightening of global monetary policy is attributed as the reason behind sluggish growth.
The global financial organization also cut its forecast for 2024 lower, to 2.7% from an earlier estimate of 3% growth.
The World Bank added that China's recovery from the re-opening of Covid-19 will be a 'key variable' to the future prospects of global growth.
