OECD Revises Up World Economic Forecast for 2020

Economy

Paris, Sept. 16 (Jiji Press)--The Organization for Economic Cooperation and Development revised up its world economy forecast for 2020 on Wednesday, reflecting a swift recovery in production following the easing of coronavirus lockdown measures.

In its latest economic outlook report, the OECD said the world's real gross domestic product is now expected to shrink 4.5 pct year on year in 2020, an improvement from the 6.0 pct contraction predicted in June.

Meanwhile, the Paris-based think tank cut its global GDP growth forecast for 2021 by 0.2 percentage point from the previous estimate to a 5.0 pct increase, with "the rising costs from a prolonged period of subpar output constraining the momentum of the recovery."

For Japan, the OECD forecast 5.8 pct contraction in 2020 and 1.5 pct growth in 2021.

The OECD revised up its forecast for China for 2020 from 2.6 pct contraction to 1.8 pct growth, saying that the country's economic activity is rebounding quickly thanks to "the earlier timing of the virus crisis" and its "rapid control of the virus."

[Copyright The Jiji Press, Ltd.]

Jiji Press