The Economic Hit From Coronavirus Will Be Worst Since The Great Depression, IMF Warns

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The Economic Hit From Coronavirus Will Be Worst Since The Great Depression, IMF Warns
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The International Monetary Fund's Managing Director Kristalina Georgieva said in a briefing today that the agency is anticipating the worst economic fallout since the Great Depression by MattRyanPerez

When it comes to recovery, the IMF assumes there will be partial recovery in 2021 with a lifting of lockdown measures in the second half of 2020, though Georgieva pushed back against removing restrictions too soon."Some say there is a trade-off between saving lives and saving livelihoods. I say it is a false dilemma. Given this is a pandemic crisis, defeating the virus and defending people’s health are necessary for economic recovery.

The IMF has $1 trillion in lending capacity, using it for emergency financing and establishing short-term liquidity, as well as looking to ways it can finance countries with unsustainable debt.Some countries have avoided lockdowns entirely to preserve their economies. Sweden in particular has suggested"common sense" guidelines but largely kept the country open.

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