IMF says the recession will be deeper and the recovery slower than it predicted

The International Monetary Fund downgraded its outlook for the coronavirus-ravaged world economy, projecting a significantly deeper recession and slower recovery than it anticipated just two months ago. The fund said Wednesday it now expected global gross domestic product to shrink 4.9 per cent this year, more than the 3 per cent predicted in April. For 2021, the fund forecast growth of 5.4 per cent, down from 5.8 per cent. Having already warned of the biggest slump since the Great Depression, the IMF said its increased pessimism reflected scarring from a larger-than-anticipated supply shock during the earlier lockdown, in addition to the continued hit to demand from social distancing and...