OECD predicts positive global economic outlook despite new COVID-19 wave

(VOVWORLD) - The outlook for the global economy is improving despite a second wave of coronavirus outbreaks in many countries as vaccines emerge and a Chinese-led recovery takes hold, the OECD said on Tuesday.

The global economy will grow 4.2% next year and ease to 3.7% in 2022, after shrinking 4.2% this year, the Organization for Economic Cooperation and Development said in its latest Economic Outlook.

After a second wave of infections hit Europe and the United States, the Paris-based policy forum trimmed its forecasts from September, when it expected a global contraction of 4.5% before a 5% recovery in 2021.

Overall global gross domestic product will return to pre-crisis levels by the end of next year, led by a strong recovery in China, according to the OECD.

Meanwhile, the United States and Europe are expected to contribute less to the recovery than their weight in the global economy.

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