The global economy is expected to expand 5.6% in 2021, the fastest post-recession pace in 80 years, largely on strong rebounds from a few major economies, World Bank said recently.
Despite the recovery, global output will be about 2% below pre-pandemic projections by the end of this year, the World Bank pointed out.
Per capita income losses will not be unwound by 2022 for about two-thirds of emerging market and developing economies, the bank added.
Growth of various economies
- US growth is projected to reach 6.8% this year, reflecting large-scale fiscal support and the easing of pandemic restrictions.
- Among emerging markets and developing economies, China is anticipated to rebound to 8.5% this year, reflecting the release of pent-up demand.
- Emerging market and developing economies as a group are forecast to expand 6% this year, supported by higher demand and elevated commodity prices.
- Excluding China, the rebound in this group of countries is anticipated to be a more modest 4.4%.
- The recovery among emerging market and developing economies is forecast to moderate to 4.7% in 2022. Even so, gains in this group of economies are not sufficient to recoup losses experienced during the 2020 recession, and output in 2022 is expected to be 4.1% below pre-pandemic projections.