IMF estimates | COVID19 will result in 0% growth in Asia in 2020, worst situation in 60 years

Due to coronavirus (COVID-19) infection, the growth rate in the Asia region in the calendar year 2020 will be 0%. This growth rate is the lowest since 1960. This estimate has been made by the International Monetary Fund (IMF). In a virtual press conference on Wednesday night, Changyong Rhee, director of the Asia and Pacific Department of the IMF, said that such a crisis has never happened before. It is worse than the global financial crisis and Asian countries have nowhere to go about it.

Rhee said that the growth rate in the region in 2020 is likely to be the worst in 60 years. The region has grown at a growth rate of 4.7 per cent during the global financial crisis and 1.3 per cent during the ASEAN financial crisis. However, he said that Asia has better conditions than other areas in terms of the Act. The new World Economic Outlook released on Thursday by the IMF predicts the global economy to shrink sharply to 3 per cent in 2020. The World Economic Outlook states that the advanced economy will shrink by 6.1 per cent while emerging markets and emerging economies will shrink by 1 per cent.

Despite negative growth globally, the IMF expects growth of 1 per cent in the emerging and developing countries of Asia in 2020. The IMF has said that China will grow at a moderate rate of 1.2 per cent this year and India at 1.9 per cent. Rhee said the rapid growth forecast in 2021 is full of uncertainty. Rhee said that rapid growth in Asia is expected if Corona infection prevention measures work and concrete policies are made with incentive packages to reduce the fear of corona. This growth may be much greater than the global financial crisis.

Britain's major bank Barclays has projected India's GDP growth to be zero per cent in the calendar year 2020. Earlier, Barclays Bank had projected GDP growth to be 2.5 per cent in 2020. Let us tell you that the central government has extended the lockdown once again till May 3 to prevent the corona infection. A research note issued by Barclays on Tuesday said that this lockdown will have a more negative impact on the mining, agriculture, manufacturing and utility sectors than we expected. According to Barclays, this economic loss would be equivalent to $ 234.4 billion (about Rs 17 lakh crore) or 8.1 per cent of GDP. This is more than the $ 120 billion loss estimate Barclays reported last time.