The Great Lockdown: Worst Economic Downturn Since the Great Depression


On April 14th, 2020, The IMF released its World Economic Outlook that takes into account the COVID-19 pandemic, referring to it as “the Great Lockdown.” The IMF predicts that the world economy will experience the worst recession since the great depression of the 1930s.  

Talking points:

Under the assumption that the COVID-19 pandemic peaks in Q2 of 2020 globally, and slows down the economy in the second half of 2020, the IMF predicts that world output in 2020 will fall by -3%. It is projected that while both advanced economies and emerging market & developing economies will see sharp declines, advanced economies will experience the lowest growth rates. The Eurozone will be hit the hardest with projected growth of negative 7.5%, while both the US and Canada show a projected decline of 6.2% and 5.9% in 2020, respectively. 

Under the assumption that the containment efforts are successful and government policy actions taken around the world are effective, the IMF projects global growth in 2021 to rebound to 5.8%. - Maryna Ivus | email


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