Bloomberg analysts forecast the possible damage to the economy amid the coronavirus
The global economy could lose up to 2.7 trillion. US dollars (2.38 trillion euros) due to the coronavirus spread. The forecast of Bloomberg agency experts issued last week predicts such data. It equals to the gross domestic product of the United Kingdom, Deutsche Welle reports citing the mentioned source. The authors of the study suggested four possible scenarios of the impact of the disease on the economy. If China overcomes with the consequences of the virus crisis in the second quarter, then the impact for the whole world and leading economies would be slight, experts say. If large seats of the disease occur in South Korea, Japan, Germany, Italy and France, then the growth of global economy to reach only 2.3 percent in 2020. Before the cases of the new type of virus, Bloomberg predicted economic growth at the level of 3.1 percent. The third scenario assumes a wide spread of the coronavirus in all countries that had confirmed infection cases by early March. In this case, the ten largest economies in the world would slow down, as they would deal with the coronavirus spread fight, the researchers said. According to them, global GDP growth to be 1.2 percent, the Eurozone and Japan would face a recession, while the US may have growth of unemployment. The last option relates to the global COVID-19 pandemic. Due to the lack of growth, the world economy would lose up 2.7 trillion. US dollars, China’s GDP growth would be just 3.5 percent, the worst rate since 1980. In addition, under this scenario, the United States would face a recession, which could affect the outcome of the presidential election, Bloomberg experts say.
