The global economy showed a faster-than-expected recovery from the coronavirus downturn. Therefore, the volume of the global economy will return to pre-pandemic levels by mid-2021. This updated forecast was announced by Deutsche Bank analysts, Reuters reports.
In general, the bank improved its forecast for world GDP from minus 5.9% to minus 3.9% in 2020.
For 2021, the bank predicts growth of 5.6% of GDP, while earlier it expected growth of 5.3%.
вЂњThe third quarter [of 2020] is nearing completion, and global GDP is about halfway to the level it was before the virus. We now see that this path will be completed by the middle of next  вЂ” a couple of quarters earlier than in our previous forecast, вЂњsaid Peter Hooper, head of global economic research at Deutsche Bank, in a note to clients.
However, according to Hooper, serious risks remain that could change the forecast. In particular, these are:
concerns about a second wave of the pandemic;
tightening of the policy of world central banks.
As reported, the World Bank (WB) also does not deny that the global economy will quickly recover from the coronavirus crisis. However, according to the WB estimates, the full recovery of the world economy will take at least five years.
Also, the UN stated that mankind is waiting for a famine of вЂњbiblical proportionsвЂќ due to the coronavirus. The organization believes that the world is experiencing вЂњthe worst humanitarian crisis since the Second World War.вЂќ