IMF Expects 4.4 Global Contraction in 2020

A report by the International Monetary Fund (IMF) revealed on Tuesday that the outlook for developed economies is better than previously expected, due to the recovery from the impacts of the COVID-19 pandemic, while emerging markets are expected to face some hardships.

The latest World Economic Outlook expects a global contraction of 4.4%, compared with 5.2% expected in June, but a growth of 5.2% is foreseen next year.

Meanwhile, for emerging markets, a contraction of 5.7% is expected this year, compared with a previous estimate of 5% as per June’s report.