Fitch: World GDP Forecasts Revised Up
Thursday, 03 18 2021, Category: Rating, Country: World
Global growth prospects are improving as fiscal support is stepped up sharply, economies adapt to social distancing and vaccination rollout gathers momentum, says Fitch Ratings in its latest Global Economic Outlook (GEO) released today.
We now expect global GDP to expand by 6.1% this year, revised up from 5.3% in our December 2020 GEO. GDP outturns were stronger than expected in 4Q20 - particularly in Europe and emerging markets (EM) - and world GDP declined by 3.4% in 2020 as a whole, compared to our previous forecast of a 3.7% decline. World GDP is now expected to be 2.5% higher in 2021 than in the pre-pandemic year of 2019.
"The pandemic is not over, but it is starting to look like we have entered the final phase of the economic crisis" said Brian Coulton, Chief Economist.
Fitch now forecasts US GDP growth at 6.2% in 2021 (revised up from 4.5%), China at 8.4% (from 8.0%) and the eurozone at 4.7% (unchanged). Growth in EM excluding China is forecast at 6.0% (up from 5.0%).
Source: Fitch Ratings