Turkey’s economy will grow by about 6% in 2021 before settling back to a growth rate of about 3.5% annually from 2022, the International Monetary Fund (IMF) said, but it urged Ankara to deploy additional targeted stimulus to address the COVID-19 pandemic needs, Trend reports citing Daily Sabah.
The 6% gross domestic product (GDP) growth projection in the preliminary findings of the IMF’s annual review of Turkey’s economy on Monday compared with a previous 2021 growth projection of 5% for the country issued in October as part of the IMF’s last World Economic Outlook.
The spread of COVID-19 vaccines will power a stronger global economic recovery in 2021, it forecast Tuesday.
After sinking 3.5% in 2020, the worst year since World War II, the global economy will grow 5.5% this year, the 190-country lending organization predicted. The new figure for 2021 is an upgrade from the 5.2% expansion the IMF forecast in October and would mark the fastest year of global growth since the 2010 snapback from the financial crisis.
The vaccines should contain the spread of the virus and allow governments around the world to ease lockdowns and encourage a return to normal economic activity.
But the IMF also says economies worldwide will need support from their governments to offset the damage from the pandemic and warns that coronavirus mutations could cloud the outlook for global health and economic growth.