Economics
IMF Sees Great Lockdown Recession as Worst Since Depression
- Global growth seen contracting 3% as pandemic spurs shutdowns
- Advanced nations to suffer most as India, China eke out growth
WATCH: 'Great Lockdown' Recession to Be Worst Since Depression, IMF's Gopinath Says
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The International Monetary Fund predicted the “Great Lockdown” recession would be the steepest in almost a century and warned the world economy’s contraction and recovery would be worse than anticipated if the coronavirus lingers or returns.
In its first World Economic Outlook report since the spread of the virus and subsequent freezing of major economies, the IMF estimated on Tuesday that global gross domestic product will shrink 3% this year.
That compares to a January projection of 3.3% expansion and would likely mark the deepest dive since the Great Depression. It would also dwarf the 0.1% contraction of 2009 amid the financial crisis.