The sluggish global economic contraction and slow growth in economies have led to such a modest performance in exportsReacting to the overall August 2023 export figures of $34.48 bn (with a decline of 6.86 percent) compared to August 2022, Dr. A Sakthivel, President, FIEO said that sluggish global economic contraction and demand specially in major economies like EU, UK and China coupled with the subdued growth in economies like US and Australia has led to such a modest performance in exports during the recent months. Manufacturing across the Euro Zone and the US has also contracted due to persistent policy tightening measures by both the US Fed and the European Central Bank squeezing finances, added Dr. A Sakthivel. As Asian economies are showing mixed bags, countries across the continent have struggled to maintain the momentum. The softening of the commodity prices across the globe have also pulled down value-wise exports. Countries are showing decline in exports including China whose exports have contracted by almost 9 percent in August 2023. Moderation in pace of growth in merchandise exports significantly in 2023 has been mainly because of ongoing geopolitical tensions, disruption in global supply chain due to Russia-Ukraine war, monetary tightening and recessionary fears, which has continuously led to a fall in consumer spending across the globe especially in advanced economies, reiterated FIEO President.