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Fitch Foresees A Recession Of "Unprecedented Depth" In 2020

Fitch Foresees A Recession Of "Unprecedented Depth" In 2020

Fitch expects a global economic recession of "unprecedented depth" for the post-war period in 2020 due to the coronavirus. This is stated in the April report of the Global Economic Outlook (GEO).

According to a new forecast by the Agency's analysts, global GDP will shrink by 3.9% in 2020. The Eurozone economy will decline by 7% this year, the US by 5.6%, and the UK by 6.3%.

Earlier in April, the International Monetary Fund predicted that in 2020, the GDP of developed countries will shrink by 6.1% (previously expected growth of 1.6%), the US economy will decline by 5.9%, the Eurozone - by 7.5%, Japan - by 5.2%, the UK - by 6.5%.

In early April, Bank of America analysts lowered their forecast for global GDP dynamics in 2020 to fall by 2.7%, worse than in the 2008-2009 recession. For the Eurozone economy, they predicted a fall of 7.6%, for the US economy-a fall of 6%.

ECB chief Christine Lagarde said that a recession would be imminent for the Eurozone.

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