World Bank comments on growth post coronavirus
- World Bank says global economic output to fall -5.2% due to coronavirus
- Growth decline compares unfavorably to the forecast of 2.5% growth expectations in January
- global output to rebound to 4.2%, but elevated uncertainty over Covid 19 would lead to downgrades in forecasts
- On per capita GDP basis, 2020 recession will be deepest since 1945 – 46 global contraction after the end of World War II
- advanced economies to see -7% contraction in 2020 and +3.9% growth in 2021
- forecast 2020 contractions of -6.1% for US and Japan. -9.1% for euro area
- China to maintain positive growth of +1% in 2020
- India to contract -3.2%
- Brazil to contract -8.0%
- global economy could shrink 8% of coronavirus lockdowns are extended by another 3 months with advanced economies contracting -10%
- further policy actions to support growth likely needed later this year
Some sobering projections from the World Bank although it's really anyone's guess....
