Coronavirus triggered century’s worst global recession without a second wave | World News - Hindustan Times
close_game
close_game

Coronavirus triggered century’s worst global recession without a second wave

Paris | ByAssociated Press
Jun 10, 2020 06:35 PM IST

Hundreds of millions of people have lost their jobs, and the crisis is hitting the poor and young people the hardest, worsening inequalities, Organization for Economic Cooperation and Development said in its latest analysis of global economic data.

The virus crisis has triggered the worst global recession in nearly a century -- and the pain is not over yet even if there is no second wave of infections, an international economic report warned Wednesday.

A man walks in front of the European Central Bank in Frankfurt, Germany. If the coronavirus re-emerges later in the year, however, the global economy could shrink 7.6%, the OECD said.(AP)
A man walks in front of the European Central Bank in Frankfurt, Germany. If the coronavirus re-emerges later in the year, however, the global economy could shrink 7.6%, the OECD said.(AP)

Hundreds of millions of people have lost their jobs, and the crisis is hitting the poor and young people the hardest, worsening inequalities, Organization for Economic Cooperation and Development said in its latest analysis of global economic data.

“It is probably the most uncertain and dramatic outlook since the creation of the OECD,” Secretary General Angel Gurria said. “We cannot make projections as as we normally do.”

In the best-case scenario, if there is no second wave of infections, the agency forecast a global drop in economic output of 6% this year, and a rise of 2.8% next year.

If the coronavirus re-emerges later in the year, however, the global economy could shrink 7.6%, the OECD said.

“With or without a second outbreak, the consequences will be severe and long-lasting,” the report says.

Gurria argued that “presenting the problem as the choice between lives and livelihoods, meaning a choice between health and the economy, is a false dilemma. If the pandemic is not brought under control, there will be no robust economic recovery.”

In case of a second wave of contagions, the OECD forecast that the average unemployment rate across the 37 developed countries that it represents would double this year to 10% and see “little recovery” in 2021. In the more optimistic scenario, the figure would be 9.2%. In poorer countries, the numbers are often higher, and informal workers are especially vulnerable.

The agency urged governments to tackle inequalities by investing in health care systems, global cooperation on medical supplies, vaccine and treatments and retraining people whose sectors are the hardest-hit.

The virus has infected 7.2 million people worldwide and killed at least 411,000, according to official figures tallied by Johns Hopkins University. The true toll is believed to be much higher.

Catch every big hit, every wicket with Crickit, a one stop destination for Live Scores, Match Stats, Infographics & much more. Explore now!

See more

Get Current Updates on World News, US News , Hollywood News , Anime and Top Headlines from around the world.

SHARE THIS ARTICLE ON
Share this article
SHARE
Story Saved
Live Score
OPEN APP
Saved Articles
Following
My Reads
Sign out
New Delhi 0C
Thursday, July 18, 2024
Start 14 Days Free Trial Subscribe Now
Follow Us On