The International Monetary Fund announced on Tuesday that the Corona epidemic is pushing the global economy in the direction of a deep recession this year, expecting global output to decline by 3%.


According to ArabiaNet, the fund stated that the global economy could lose $ 9 trillion in two years due to Corona.


According to the Monetary Fund's World Economic Outlook, the global economy will be able to achieve a 5.8% recovery in 2021 if the virus is contained and the economic movement returns to normal.


To approximate the size of the loss, the Fund said the global economic loss is parallel to that of Germany and Japan.


The report expected the US economy to contract by 5.9%, but at the same time it expected recovery next year, with growth of 4.7%.

Major Risks

However, the International Monetary Fund warned of the existence of significant risks from the result of the worst due to the severe uncertainty about the extent of the strength of the recovery at a time imposed closures in most countries of the world in light of Efforts to contain the epidemic and prevent the collapse of health care systems.


About two million people worldwide were infected with the Covid-19 epidemic caused by the emerging coronavirus, 120,000 of whom have died, while travel has almost completely stopped and businesses, shops and restaurants have been forced to close.


The big shutdown, the term the International Monetary Fund has used to refer to the current global recession, is the worst since the Great Depression of the 1930s.


With regard to the economies of the Middle East and North Africa, the Fund expected a contraction of 3.3% this year, against the backdrop of measures to combat the emerging Corona virus and the decline in oil prices, in the worst performance in four decades.


The IMF said the damage would be much greater than the last financial crisis in the region in 2008-2009, when countries managed to achieve modest growth.


The forecast for 2020 is the worst economic performance for the region, including all Arab countries and Iran, since 1978 when the economy shrank by 4.7 percent in light of regional turmoil, according to World Bank data.

Arab Countries Economies

The International Monetary Fund said that all Arab countries except Egypt will drop their economies to the Red Zone (economic downturn) this year, while the economy in Saudi Arabia is heading to deflation by 2.3% .


In its report, the fund said the rapid deterioration of expectations ...