The coronavirus pandemic across the world has created a situation of emergency in most parts of the world. Due to this majority of countries have imposed some serious lockdowns to stop the spread of the virus. Even though social distancing and lockdown seem to be the only way to deal with the situation, this lockdown is also causing some huge economic losses.
The whole world is going through a huge economic crisis leading the financial market to a very dangerous stage. Considering all of these situations, the International Monetary Fund, IMF has declared that this time the situation is going to be far worse than that of the financial crisis of 2008. This is going to be the worst recession ever since the ‘Great Depression’ of 2008.
IMF predicted the global growth will fall to -3%
As there is going to be the worst recession this year, the IMF has also predicted that global growth is going to fall down to -3%. It has also revealed that more than 9 trillion of the global GDP will be lost in this recession.
The IMF has also claimed that the economy might start its revival in late 2020 and global growth will reach around 5.8% in 2021. However, this will be completely dependent on how long this pandemic will continue. If it will not have completely vanished away then the global GDP might fall by another 8%.
True global crisis
This huge crisis caused by the coronavirus pandemic is labelled as a truly global crisis by the IMF. The reason is that it has been spread across the world including all the countries and is causing havoc in most of them.
The IMF has also raised its concern towards bitcoin also. Last month it is quite identical how much bitcoin was affected due to the market crash caused by this pandemic only. It is yet to be seen how bitcoin is going to perform amid this because it has also managed to bounce back quickly.
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