OECD revises up global GDP forecast

By Gokhan Ergocun

ISTANBUL (AA) – The Organization for Economic Co-operation and Development (OECD) revised its global gross domestic product forecast to 5.8% for 2021, up from 5.6% in its previous expectation.

According to the organization's Economic Outlook report on Monday, the global forecast for 2022 was up 0.4 percentage points to 4.4%, versus its interim report in March.

"Prospects for the world economy have brightened but the recovery is likely to remain uneven and, crucially, dependent on the effectiveness of public health measures and policy support," the report said.

The OECD increased its forecast for G20 countries by 0.1 percentage points to 6.3% this year.

Euro area's economic growth expectation was also revised up to 4.3% for 2021 and to 4.4% for 2022 in the report.

The report's GDP expectations for major EU economies, Germany, France, Italy and Spain, were 3.3%, 5.8%, 4.5% and 5.9%, respectively.

The report also forecasts that Turkey's economy will grow by 5.7% in 2021, revising down from 5.9% in its March report. Turkey's 2022 forecast was 3.4% in the report.

The US economy is expected to grow by 6.9% in 2021, and the UK by 7.2%, the report showed.

According to the report, the world economy narrowed by 3.5% in 2020, when the pandemic hit all economies globally.

Turkey was among a few countries in the world achieving to post positive GDP result in 2020, with 1.8% growth.