Rabat, Morocco (TMT)- The International Monetary Fund said in a communiqué today that the magnitude and speed of collapse in activity that has followed the ongoing world pandemic “is unlike anything experienced in our lifetimes.”
“It is very likely that this year, the global economy will experience its worst recession since the Great Depression, surpassing that seen during the financial crisis a decade ago,” IMF Chief Economist Gita Gopinath stressed.
“We project global growth in 2020 to fall to -3 percent. This is a downgrade of 6.3 percentage points from January 2020, a major revision over a very short period. This makes the Great Lockdown the worst recession since the Great Depression, and far worse than the Global Financial Crisis,” a statement from the monetary body reads.
The IMF stressed that the recovery will not be easy noting that “recovery in 2021 is only partial as the level of economic activity is projected to remain below the level we had projected for 2021, before the virus hit.”
“The cumulative loss to global GDP over 2020 and 2021 from the pandemic crisis could be around 9 trillion dollars, greater than the economies of Japan and Germany, combined,” the IMF alerted.
The Moroccan Times.
