IMF: US Economy Can Contract by 6.6 Percent

IMF: US Economy Can Contract by 6.6 Percent

The IMF said the U.S. economy could contract by 6.6 percent in 2020 due to the coronavirus (Covid-19) outbreak. The IMF predicted that the US economy will grow by 3.9 percent in 2021. In the statement made by the International Monetary Fund (IMF), the preliminary determinations of the 4th article negotiations against the USA were shared. The statement, which included the effects of the coronavirus (Covid-19) outbreak on the US economy, it was said: "The longest growth in US history has derailed with the unexpected arrival of Covid-19," "It will take a long time to repair the economy and bring the activity back to pre-pandemic levels." It was pointed out that the economic loss was very large in the IMF statement. In the statement, which stated that the economic effects of the crisis in question were much more severe for the poorest segment, there were great uncertainties covering the economic spread of the Coronavirus (Covid-19) shock. Looking at the economic outlook, it was said that the most important risk is the increase in Covid-19 cases in the USA and the possibility of reapplying quarantine measures. In the IMF statement, it was pointed out that poverty will increase systematically when the economic contraction and the sectoral distribution of losses are addressed, while the increase in debt levels may cause vulnerabilities. In the IMF statement, which includes the growth forecasts of the US economy, the US economy will contract by 6.6 percent in 2020; It was estimated that it would grow by 3.9 percent in 2021, 3.3 percent in 2022, 2.3 percent in 2023, 1.9 percent in 2024 and 1.8 percent in 2025.