PARIS (REUTERS) – Each month major economies spend in lockdown will knock 2 percentage points off annual growth, the Organisation for Economic Cooperation and Development said on Friday (March 27).
“Our latest estimates show the lockdown will directly affect sectors amounting to up to one-third of GDP in the major economies,” OECD Secretary-General Jose Angel Gurria said in remarks to G-20 leaders on Thursday, but which were made public on Friday.
“We calculate that, for each month of containment, there will be a loss of 2 percentage points in annual GDP growth. The tourism sector alone faces a decrease in output anywhere between 50 per cent to 70 per cent in this period. Many economies will fall into recession,” he added.