Metal prices may decline by 15% in 2023: WB

Metal prices are projected to decline by 15 per cent in the global market next year, according to the latest Commodity Markets Outlook report of the World Bank.

The weaker global growth and concerns about a slowdown in China will largely help reduce the metal price, the global bank said.

Concerns about a possible global recession next year have already contributed to a sharp decline in copper and aluminium prices, it said.

The WB report has examined the drivers of aluminium and copper prices and explores implications for emerging markets and developing economies that export these commodities.

Prices will likely remain volatile as the energy transition unfolds and demand shifts from fossil fuels to renewables, which will benefit some metal producers, it said.

Metal exporters can make the most of the resulting opportunities for growth over the medium term while limiting the impact of price volatility by ensuring they have well-designed fiscal and monetary policy frameworks, the report highlights.