The fall in the Eurozone economy at the end of this year due to the fight against the new coronavirus pandemic may be close to the figure previously predicted by the international monetary Fund (IMF). In essence, 7.5%, said European Commissioner for Economics Paolo Gentiloni, speaking at a meeting of the relevant Committee of the European Parliament.
“It is clear that a deep recession is inevitable in Europe this year. We will present our spring forecast on May 7. We will have an extreme decline in EU GDP in 2020, worse than during the global financial crisis. Our figures will be similar in magnitude to the latest estimates of the IMF, which predicted a fall in Eurozone GDP of about 7.5%,” he said.
The 19-nation Eurozone is the economic core of the European Union. All countries of the currency bloc are members of the EU, with a total of 27 States in the Union.
In the middle of the month, the IMF predicted a 7.5% fall in the EURO zone’s GDP due to the coronavirus at the end of the year; although in January it expected it to grow by 1.3%. At the same time, next year, according to the basic scenario of the Fund, recovery is expected, and the economy of the monetary Union countries will grow by 4.7%, the IMF believes. This is higher than its January forecast by 3.3 percentage points.