Fun

IMF Predicts Worst Global Crisis Since Great Depression, Costing $9 Trillion

News Feed - 2020-04-17 03:04:02

IMF Predicts Worst Global Crisis Since Great Depression, Costing $9 Trillion


The International Monetary Fund (IMF) said the world’s current economic crisis is the worst downturn since the Great Depression, and no country is spared. The IMF estimates that the cumulative loss to global GDP from the pandemic could be around 9 trillion dollars.


Also read: IMF Declares Global Recession, 80 Countries Request Help, Trillions of Dollars NeededThe Great Lockdown: Worst Economic Downturn Since Great Depression


The IMF’s economic counselor and director of the research department, Gita Gopinath, has analyzed the world’s economic crisis and detailed her analysis in a report published on Tuesday. “The world has been put in a Great Lockdown,” she began, citing that countries have implemented the necessary quarantines and social distancing practices to combat the coronavirus pandemic. She elaborated:The magnitude and speed of collapse in activity that has followed is unlike anything experienced in our lifetimes.


Gopinath sees the Great Lockdown as “the worst recession since the Great Depression, and far worse than the global financial crisis.” Her analysis considers that the coronavirus pandemic and required containment peak in the second quarter in most countries and recede in the second half of the year.


“This is a truly global crisis as no country is spared … several economies entered this crisis in a vulnerable state with sluggish growth and high debt levels,” the director opined. “For the first time since the Great Depression both advanced economies and emerging market and developing economies are in recession.”


$9 Trillion Loss


Gopinath further asserted that the possible “recovery in 2021 is only partial as the level of economic activity is projected to remain below the level we had projected for 2021, before the virus hit,” adding:The cumulative loss to global GDP over 2020 and 2021 from the pandemic crisis could be around 9 trillion dollars, greater than the economies of Japan and Germany, combined.


The IMF economic counselor also described a more severe scenario. “The pandemic may not recede in the second half of this year, leading to longer durations of containment, worsening financial conditions, and further breakdowns of global supply chains,” she detailed. “At the International Monetary Fund, we are actively deploying our 1-trillion-dollar lending capacity to support vulnerable countries, including through rapid-disbursing emergency financing and debt service relief to our poorest member countries, and we are calling on official bilateral creditors to do the same.”


Recently, IMF Managing Director Kristalina Georgieva also spoke on the subject, declaring: “we have entered a recession – as bad as or worse than in 2009.”


What do you think about the IMF’s economic view? Let us know in the comments section below."Black Thursday" Liquidations Sparks $28M Lawsuit Against Maker FoundationNEWS | 1 day ago


The Maker Foundation is being sued in a class-action lawsuit for $28 million over the March 12 event that caused… read more.G20 Considers 10 Rules for Regulation of Stablecoins Like Facebook LibraNEWS | 2 days ago


The G20 is setting rules to regulate stablecoins such as Facebook"s Libra cryptocurrency. Responding to a call by the G20,… read more.Tags in this storyCoronavirus, coronavirus crisis, covid 19 crisis, COVID-19, Crisis, Economic Crisis, Economic Recession, Financial Crisis, gdp, global crisis, Great Depression, great lockdown, imf crisis, imf great depression, imf recession, pandemic, Trillion, world crisis, Worst


Image Credits: Shutterstock, Pixabay, Wiki Commons, IMFUse Bitcoin and Bitcoin Cash to play online casino games here.Disclaimer: This article is for informational purposes only. It is not an offer or solicitation of an offer to buy or sell, or a recommendation, endorsement, or sponsorship of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article.Read disclaimer Show comments

News Feed

Bitcoin’s Mining Difficulty Jumps 3.44% Higher Reaching Another Lifetime High
Bitcoin’s Mining Difficulty Jumps 3.44% Higher Reaching Another Lifetime High Bitcoin recorded another mining difficulty rise on Sunday, October 23, 2022, at block height 760,032
July’s CPI Report Shows US Inflation Cooling — Critics Say ‘US Government’s Formula Understates the Actual Rise in Prices’
July"s CPI Report Shows US Inflation Cooling — Critics Say "US Government"s Formula Understates the Actual Rise in Prices" After last June’s inflation report published by
Jesse Coghlan3 hours agoBinance founder CZ’s fortune gets slashed $12B, while SBF is still at $0Binance CEO Changpeng Zhao’s crypto empire has fallen over 80% from its January 2022 peak of almost $97 billion.2642 Tot
Draper-Backed Startup Launches .Crypto Domains on Ethereum
A startup building domains on blockchains has just launched a .crypto name registry on ethereum. Unstoppable Domains – a firm backed in May to the tune of $4 million by Dr
Nigerian Cash Crisis: Benue State Residents Resort to Barter Trade
Nigerian Cash Crisis: Benue State Residents Resort to Barter Trade Faced with cash shortages caused by the central bank’s currency policies, traders in the Nigerian state of
Physicist explains how his ‘Power Law’ model got to $10M Bitcoin by 2045
Tom Mitchelhill3 hours agoPhysicist explains how his ‘Power Law’ model got to $10M Bitcoin by 2045The price of Bitcoin could increase by 6300% in the next 15 years, according to Giovanni Santostasi’s power law mode
Cardano’s Charles Hoskinson Signs Memorandum With Burundi Government, Agreement Questioned
Cardano"s Charles Hoskinson Signs Memorandum With Burundi Government, Agreement Questioned Cardano founder Charles Hoskinson recently confirmed he had signed a memorandum of unders
Oklahoma’s new crypto law protects miners, sets blockchain legal framework
Ana Paula Pereira4 hours agoOklahoma’s new crypto law protects miners, sets blockchain legal frameworkOklahoma Governor Kevin Stitt enacted a law on May 13 that creates a legal framework for blockchain and safeguards m
‘More Valuable Than Gold’- The Motley Fool Announces $5 Million Investment Into Bitcoin
‘More Valuable Than Gold"- The Motley Fool Announces $5 Million Investment Into Bitcoin The fifth-largest investment website globally with over 80 million mont
3 Ethereum price metrics point to further downside in ETH
Nancy Lubale6 hours ago3 Ethereum price metrics point to further downside in ETHETH’s price continues to underperform Bitcoin’s price, and the downside is set to continue.1130 Total views2 Total sharesListen to artic
Ana Paula Pereira3 hours agoCurve-Vyper exploit: The whole story so farCurve Finance pools were targeted by hackers in a reentrancy attack on July 30, sending shockwaves across the DeFi ecosystem. Cointelegraph compiled
LayerZero cross-chain interoperability protocol completes first airdrop snapshot
Zoltan Vardai22 minutes agoLayerZero cross-chain interoperability protocol completes first airdrop snapshotLayerZero’s ZRO perpetual futures contract is trading at $8.6 on Hyperliquid, the world"s largest perps DEX, su