Global economy began to grow faster

The global economy demonstrates a faster recovery of growth rates than previously expected. This was stated by the First Deputy Head of the International Monetary Fund (IMF) Jeffrey Okamoto, reports TASS.

“In January, we predicted the growth of the global economy in 2021 at the level of 5.5 percent. However, the prospects of faster recovery appear thanks to additional budgetary stimulation, especially in the United States, and the prospects for more large-scale vaccination,” said the representative of the IMF.

However, in most countries, GDP remains much lower than the pre-crisis indicators. Only China managed to almost complete the recovery and return to the pre-crisis levels of growth, ahead of all major economies.

Nevertheless, essential risks, including new strains of coronavirus, still remain, he added. So, uncertainty regarding economic recovery is exceptionally large. “We do not know how defaulting the crisis in the field of healthcare is lost. Access to vaccines remains very uneven both in developed and in developing countries,” added Okamoto.

In December 2020, the International Insurance Company Euler Hermes warned that the main condition for the restoration of the global economy in 2021 will be the mass vaccination of the population. The main threat to the restoration of the global economy will be a short validity of the vaccine. Also, the economic revival may prevent the premature cancellation of anti-coronaviral restrictions, lack of fiscal and monetary support of the population and business, the threat of a debt crisis in a number of countries and the problems of the banking sector.

/Media reports.