x

OECD warns of world’s worst peacetime recession in a century

The world is facing its worst peacetime recession in a century due to the coronavirus, the Organisation for Economic and Social Development (OECD) warned on Wednesday.

“That applies even if the virus continues to recede.

“But the economic outcome will be much worse if a second wave of rapid contagion arises later in the year,’’ the intergovernmental think tank warned.

According to the OECD, it is taking the unusual step of publishing a double set of predictions in the latest edition of its twice-yearly Economic Outlook.

It added that it has been a best-case scenario for a worldwide single wave of COVID-19, and a worst-case scenario of a widespread second wave.

“In the single-hit scenario, world gross domestic product (GDP) is forecast to decline by 6 per cent this year, however will rise by 5.2 per cent by 2021 to return to 98.9 per cent of its 2019 level.

“In the two-wave scenario, global GDP is projected to decline by 7.6 per cent this year, recovering by only 2.8 per cent next year to reach 95 per cent of its 2019 level.

“Even in the more favourable scenario, in many advanced economies, the equivalent of five years or more of per capita real income growth could be lost by 2021,” the OECD warned.

OECD chief economist Laurence Boone argued that ultra-accommodative monetary policies and higher public debt are necessary and will be accepted as long as economic activity and inflation are depressed, and unemployment is high. 2020 (dpa/NAN)

Hot this week

THE GIANT STRIDES OF DG NOA, MALLAM LANRE ISSA-ONILU

As a young man growing up, it was always...

Insecurity Cannot Be Resolved Through Firearms Alone – Gov Sani

By Idibia Gabriel, Kaduna Governor Uba Sani of Kaduna State...

Resident Doctors to Decide on Nationwide Strike as Ultimatum Expires

The Nigerian Association of Resident Doctors (NARD) will today...

Benue Govt, Christian Aid Collaborate on Humanitarian Coordination

By Isaac Kertyo, Makurdi The Benue State Government, through the...

Eid-ul-Mawlid: Pray for Security, Peace of Our Nation, Bishop Adegbite Encourages Muslim Faithful

By Joyce Remi-Babayeju As Muslim faithful in Nigeria celebrate this...

FCTA Vows Increased Commitment To Advance Child Healthcare

By Joyce Remi-Babayeju The Minister of State for the Federal...

Taraba LG Boss Denies Alleged Involvement in Pipeline Vandalism

By Our Correspondent Concerned citizens of Ardo-Kola Local Government Area...

Plateau Drugs Agency, LGAs to Tackle Fake, Substandard Products

By Israel Adamu, Jos The Plateau State Drugs and Medical...

Plateau Drugs Agency, LGAs to Tackle Fake and Substandard Products

By Israel Adamu, Jos The Director General of the Plateau...

Gov Ododo Condemns Security Breaches, Attacks on Security Personnel in Kogi

By Noah Ocheni, Lokoja The Kogi State Government has condemned...

Gov Mutfwang Commissions New JMDB Market to Empower Women Traders

By Isreal Adamu, Jos Plateau State Governor, Caleb Mutfwang, has...

FG Adopts Funding Prioritization Framework for NNPCL Tax Credit Projects

By Jabiru Hassan The Federal Ministry of Works has adopted...

Langtang North Authorities Intercept Expired Products, Drugs

By Israel Adamu, Jos Several fake and expired products were...

Related Articles

Popular Categories

spot_imgspot_img