By ZHA JIANGUO

and MAO LI

The Analysis Report on the World Economy in 2017 was released by the Institute of World Economy (IWE) at the Shanghai Academy of Social Sciences two weeks ago in Shanghai.

In 2015, China put forward five development concepts, including innovative, coordinated, green, open and shared development. These concepts will not only lead the overall development of China’s economy but also inject positive momentum into global growth in the next long cycle, according to the report.

The report also suggests the world economy in 2017 will continue the trend of low growth and weak recovery. More instability and uncertainty are looming. Globally, the economy in 2017 is predicted to grow by 3.18 percent and in 2018, 3.24 percent.

Stimulated by the policies US President-elect Donald Trump has proposed, the US economy will see a slight improvement. But in the long term, uncertainty will make a strong recovery difficult, the report predicts.

Influenced by the “Brexit” referendum, the momentum for short-term economic growth in the euro zone has been weakened, causing great uncertainty for the European economy. The emerging economies will remain the major engines of global economic growth in 2017. However, it will be difficult for them to constitute a strong trend of growth, according to the report.

In an effort to explain the slow growth of the world economy, the report suggests that it is not simply a matter of rebalancing in the short term nor will the global economy revert to the rapid-growth model in place before the 2008 financial crisis. The global economy faces a new and long cycle of structural adjustment and transformation. It remains in the transitional period between the old and new development cycles, the report reads.

The recession period of the last business cycle will last for another decade, and the world economy will actually revive in the period from 2025 to 2030, stepping into the sixth long-wave business cycle, said Quan Heng, director of the IWE.

The transition of the world economy from the fifth long-wave business cycle to the sixth coincides with China’s transition from a middle-income nation to a high-income one. The report suggests China should take the high ground and assume a leading role in the sixth long-wave business cycle through economic transformation, upgrading and development.