OECD: Economic decline will not be as deep as feared

The Organization for Economic Cooperation and Development (OECD) stated that the economic contraction will not be as drastic as predicted.

According to the OECD, although the global economic recovery slows down. The recession will not be as deep as feared this year, and the economies will need the support of governments and central banks for a while.

According to AFP’s report, the Paris-based organization predicted 6 percent contraction in June. It revised to 4.5 percent this year as restrictions ended and economic recovery began.

USA according to OECD report. Major revisions are also in question for the Euro Zone and China, which is starting to recover slightly.

A more optimistic assessment states that the current recovery is ‘strong’.

While positive data received on the industrial production and retail sales front this week in China. In the US, unemployment fell more than expected in August.

Although the strong recovery indicates that 2020 will be less harsh, the slowdown in the recovery. It is reported that production in many countries will still be weaker than pre-crisis levels in 2021.