The coronavirus pandemic and the quarantine measures imposed to contain it were a sharp and widespread shock to the world economy.
A World Bank report released on Monday 8 June said the global economy will shrink by 5.2% in 2020 due to the COVID-19 pandemic.
“The coronavirus pandemic and quarantine measures imposed to contain it have been a sharp and massive shock to the world economy, plunging it into a deep recession”, – the report said. – “This year the world economy will shrink by 5.2%. It will mean the deepest recession since the Second World War.”
The World Bank predicts that the decline of developed economies will reach 7% by the end of this year. And countries with emerging markets will lose about 2.5% of GDP. At the same time, the report notes, the total per capita income will decrease by 3.6%.
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“This is an extremely sobering forecast: it is very likely that the current crisis will leave deep scars and cause major global problems. After that, the world community must come together to find ways to revive the economy as quickly and sustainably as possible – and prevent further increases in poverty and unemployment”, – said WB Vice President Jeyla Pazarbasioglu.