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Major economies shrink amid COVID-19 pandemic

A global development agency said the world’s 20 major industrialised nations have seen their economies shrink in an unprecedented manner between April and June amid the COVID-19 pandemic.

The Paris-based Organisation for Economic Cooperation and Development said Monday that the gross domestic product dropped by a record 6.9% in the second quarter of this year in the G-20 area.

This organisation noted that it is “significantly larger” than the 1.6% fall recorded in the first quarter of 2009 at the height of the financial crisis.

Between April and June this year, the GDP most dramatically fell by 25.2 in India, by 20.4% in the UK and by 17.1% in Mexico. It plunged by 9.1% in the United States.

The OECD said that China was the only G-20 country recording growth (11.5%) in that period. The organisation said that reflects “the earlier onset of the pandemic in this country and subsequent recovery”.