The Organisation for Economic Co-operation and Development has significantly improved the outlook for the growth of the world economy for this year. The global economy will grow 5.8 percent this year. Meanwhile, the OECD forecast growth of just 4.2 percent in the world’s gross domestic product last December.
Next year, too, the world economy should grow a little faster than the OECD projected even at the end of 2020. Global GDP is projected to increase by 4.4 percent in 2022, yet performance will be lower by about three trillion dollars compared to a situation where no coronavirus crisis would occur.
The OECD also presented a time estimate of how long it will take individual countries to return their economic levels to pre-pandemic values. While China and Turkey have already surpassed their GDP per person before the end of last year, other countries will manage to pull out of the crisis this year or in the next years.
Of the developed nations, recovery will take the longest for Iceland, for which the OECD estimates a moment of return to pre-crisis levels in the third quarter of 2023. It will take the shortest time for Lithuania, Ireland, Korea, and the US, who will be able to recover from the crisis by the end of this quarter. The longest-ever economic recovery within the G20 countries will take Argentina until 2026.