The coronavirus crisis is already showing its economic consequences and is going to cause a severe recession throughout the world, although the economic impact leaves Spain as the developed country that is going to suffer the most this year, while China will be the only country that manages to grow.
These are the forecasts currently being handled by the IMF (International Monetary Fund), predicting a contraction of 12.8% of the GDP in Spain, compared to the 11.2% forecast by the Spanish government. This figure is more than four points higher than the decline in the Eurozone as a whole, double the figures expected in Germany and practically tripling the expected contraction for the USA and the world average. Italy could also suffer a double-digit contraction, while China is expected to grow by slightly less than 2 percent this year.
In 2021, the IMF forecasts an economic recovery, although the improvement will not be able to recover the falls of this year. In the case of Spain, the rebound could reach 7.2% in 2021, the third highest in the developed world, behind China's 8.8% and India's 8.2%. The organisation also warns that Spain will not recover the level of unemployment that existed before the COVID-19 outbreak until 2026.
This image gives a clear overview of the GDP predictions for 2020 and 2021 across the world:
