The World Trade Organisation’s chief Ngozi Okonjo-Iweala said she was “less optimistic” about world trade in 2024, pointing to tensions in the Red Sea, AFP reports.

The head of the international trade body said weaker global economic growth, “worsening geopolitical tensions, the new disruptions we see in the Red Sea, on the Suez Canal, the Panama Canal” meant “we are less optimistic”, speaking to journalists at the World Economic Forum in the Swiss resort of Davos.

Before October 7, the WTO had predicted trade would grow by 0.8 per cent in 2023 and projected growth of 3.3pc this year. But Okonjo-Iweala warned the figure for 2024 would now be lower in future forecasts.

“We think there are a lot of downside risks to the forecasts we had made last year of 3.3pc of growth of merchandise volumes this year. So we expect weaker performance,” she said.

“We will be revising estimates for this year, but they won’t be ready for another month or so,” Okonjo-Iweala added.