This year's contraction and the coming recovery have now been revised lower

IMF Revises Global GDP Even Lower Now

Posted Wednesday, June 24, 2020 by
Skerdian Meta • 1 min read

At the beginning of this year, the International Monetary Fund (IMF) was quite optimistic about global economic growth, after the Phase One Deal between US and China. But, the situation turned upside-down as the coronavirus came and economic projections were revised lower. In April GDP forecasts for 2020 were revised lower to -3.0%, but now they have been revised even lower, at -4.9%.

Global GDP forecasts From the International Monetary Fund

  • 2020 global contraction of -4.9% vs -3.0% in April forecast
  • January projection was +3.3% this year, April was -3.0%
  • 2021 growth forecast is +5.4% vs +5.8% in April
So it’s a bigger decline and a softer bounce. Not a great picture.

Forecast by Country for 2020:

  • Japan -5.8% vs -5.2% in April
  • China +1.0% vs +1.2% in April
  • Italy -12.8% vs -9.1% in April
  • Germany -7.8% vs -7.0% in April
  • France -12.5% vs -7.2% in April
  • UK -10.2% vs -6.5% in April
  • US -8.0% vs -5.9% in April
  • India -4.5% vs +1.9% in April
  • Canada -8.4% vs -6.2% in April
  • Australia -4.5%

Those are some ugly numbers. Only China is seen growing this year, by 1%. That’s so weird considering that the coronavirus started off in China late last year, now China is leading the world after taking over Hong Kong. Too much of a coincidence anyone?

It begs to question, why did the World Health Organisation kept repeating to keep borders open with China when the virus was spreading in China, while the sert of the world was safe. Couldn’t we all close borders with China in January, instead of waiting until he virus spread and then we went into house arrest? Very dodgy WHO.
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