The International Monetary Fund is sharply upgrading its economic outlook this year for the world's wealthy countries, especially the United States, as COVID-19 vaccinations help sustain solid rebounds from the pandemic recession.
is sharply upgrading its economic outlook this year for the world's wealthy countries, especially the United States, as COVID-19 vaccinations help sustain solid rebounds from the pandemic recession. But the 190-country lending agency has downgraded its forecast for poorer countries, most of which are struggling to vaccinate.
Gita Gopinath, the IMF's chief economist, told reporters Tuesday that more needs to be done to supply vaccines to poorer nations that lag far behind wealthier nations. Advanced economies, in which close to 40% of the population has been vaccinated, are largely reopening after last year's COVID-19 lockdowns. But in developing and emerging market countries, the vaccination rate is just 11%. Moreover, the governments of poorer countries cannot match the outpouring of government spending that rich countries have been using to propel their economic recoveries.
The 19 European countries that share the euro currency are forecast to grow 4.6% collectively this year, versus last year's 6.5% contraction. Japan, which endured a 4.7% drop in economic growth in 2020, is expected to expand 2.8% this year. But the 2021 forecast for Japan marks a downgrade from what the IMF expected in April, reflecting a resurgence of COVID-19 cases earlier this year.
Canada Latest News, Canada Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
5 things to know for Monday, July 26, 2021Canada has now fully vaccinated 61.77 per cent of the country's eligible population.
Read more »