BAKU, Azerbaijan, Jan. 6
By Nargiz Sadikhova - Trend:
Kazakhstan’s GDP is estimated to contract by 2.5 percent in 2020 as compared to the growth of 4.5 percent in 2019, Trend reports citing the data of the World Bank.
The WB said COVID-19 pandemic has generated a major health and economic crisis in the region that has been compounded by social unrest and conflict.
“After stabilizing in mid-2020, the rate of cases sharply accelerated in the fourth quarter, forcing governments of European and Central Asian countries to maintain or reintroduce mitigation measures. Regional GDP is estimated to have contracted 2.9 percent last year, with nearly all economies in recession and roughly two-thirds expected to experience deeper contractions than during the global financial crisis,” the report said.
The report said that Kazakhstan’s GDP is forecast to grow by 2.5 percent in 2021 and by 3.5 percent in 2022.
The WB also noted that the regional economy is forecast to expand only moderately in 2021, to 3.3 percent, as the resurgence of COVID-19 cases causes persistent disruptions to activity.
“The outlook is predicated on the distribution of an effective vaccine in early in 2021 in advanced economies and major emerging market and developing economies, including Russia, and later in the year for other countries. It also assumes that geopolitical tensions do not re-escalate in the region,” the report said.
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