UN forecasts confirm broad demographic headwinds

The UN’s latest population projections highlight that demographic headwinds are set to mount in almost all economies outside Africa. The most significant downward revisions were to its forecasts for China, but we still think that the ultimate decline in the population and its effects on GDP growth will be worse than generally assumed. The projections confirm that policies to boost productivity, encourage migration and manage population ageing will be crucial to the long-term prospects of advanced economies.