UNCTAD raises global economic growth forecast for 2021 to 4.7%

In its latest report, the UN Conference on Trade and Development (UNCTAD) revised up its 2021 global economic growth forecast to 4.7% vs. 4.3% seen in the previous estimate.

Key takeaways

"The global recovery that began in the third quarter of 2020 is expected to continue through 2021, albeit with a good deal of unevenness and unpredictability, reflecting epidemiological, policy and coordination uncertainties.”

'Out of the frying pan...into the fire?' said COVID-19 will have lasting economic consequences that will require continued government support. It said the main risk to the global outlook is a "misguided return to austerity.”

“Estimate that last year there was a 3.9% drop in output as the spread of the coronavirus sparked lockdowns across the world.”

It called the impact "exorbitant", describing the "destruction of income on an unprecedented scale.”

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