IMF: Coronavirus will lead to “worst recession since the Great Depression”

The coronavirus pandemic will bring about the worst economic downturn since the Great Depression, the International Monetary Fund projected Tuesday in its latest world economic outlook.

Why it matters: The organization expects a recession “far worse” than the 2008 financial crisis. In a revision to its earlier forecast, the IMF said global GDP growth will fall to -3% this year, a drastic downgrade from its forecast of +6.3% in January.

By the numbers: Global GDP will face a cumulative loss of about $9 trillion — larger than the economies of Japan and Germany combined.

• Growth in advanced economies is projected to be -6.1%.
• Emerging markets are projected to have growth rates of -1.0%, and -2.2 percent if China is excluded.
• Income per capita is expected to shrink for over 170 countries.