World Trade Organization expects world trade to fall by between 13% and 32% in 2020 as the COVID-19 pandemic disrupts normal economic activities and lives around the world. This was stated in the relevant press release.
According to the report, trade is likely to fall more steeply in sectors characterized by complex value chain linkages, particularly in electronics and automotive products.
WTO economists believe the decline will likely exceed the trade slump brought on by the global financial crisis of 2008‑2009.
"This crisis is first and foremost a health crisis which has forced governments to take unprecedented measures to protect people’s lives," WTO Director-General Roberto Azevêdo said.
As we reported earlier, Managing Director of the International Monetary Fund Kristalina Georgieva believes that the current economic crisis, caused by the coronavirus pandemic, is even worse than the global crisis of 2008-2009.
"Never in the history of the IMF, we have witnessed the world economy coming to a standstill. We are now in recession. It is way worse than the global financial crisis. And it is a crisis that requires all of us to come together. WHO is there to protect the health of people; the IMF is there to protect the health of the world economy; they both are under siege. And only united we can do our duties," she said.