National Economic Council Director Brian Deese joins \u2018Fox News Sunday\u2019 to discuss President Biden\u2019s $2 trillion spending plan. <\/p>\n
WASHINGTON — The rollout of COVID-19 vaccines and vast sums of government aid will accelerate global economic growth to a record high this year in a powerful rebound from the pandemic recession, the International Monetary Fund says in its latest forecasts.<\/p>\n
The 190-country lending agency said Tuesday that it expects the world economy to expand 6% for 2021, up from the 5.5% it had forecast in January. It would be the fastest expansion for the global economy in IMF records dating to 1980.<\/p>\n
NATIONS BEGIN TO SHAPE POST-COVID-19 ECONOMY AMID DIVERGING FORTUNES<\/strong><\/p>\n In 2022, the IMF predicts, international economic growth will decelerate to a still strong 4.4%, up from its January forecast of 4.2%.<\/p>\n The agency’s economists now estimate that the global economy shrank 3.3% in 2020 after the devastating recession that followed the coronavirus' eruption across the world early last spring. That is the worst annual figure in the IMF's database, though not as severe as the 3.5% drop it had estimated three months ago. Without heavy government aid that helped sustain companies and consumers during COVID-19 lockdowns, IMF forecasters say, last year’s downturn could have been three times worse.<\/p>\n GET FOX BUSINESS ON THE GO BY CLICKING HERE<\/strong> <\/strong><\/p>\n The U.S. economy, the world’s biggest, is now forecast to expand 6.4% in 2021 — its fastest growth since 1984 — and 3.5% in 2022. The U.S. growth is being supported by President Joe Biden’s $1.9 trillion relief package, while an acceleration in the administering of vaccines is beginning to let Americans return to restaurants, bars, shops and airports in larger numbers.<\/p>\n The world's second-largest economy, China, which imposed a draconian COVID-19 clampdown a year ago and got a head start on an economic recovery, will record 8.4% growth this year and 5.6% in 2022, the IMF estimates.<\/p>\n