Global economy will suffer as long as rich countries don't help vaccinate poor ones, OECD warns
CBC
A leading international economic watchdog urged developed countries to put more effort into providing low-income countries with coronavirus vaccines in order to ensure that the global recovery from the pandemic is more even.
In its latest assessment of the state of the global economy, the Paris-based Organization for Economic Cooperation and Development said Tuesday that the global recovery from the shock of the pandemic is faster than it anticipated a year ago. Though the global economy has more than recouped the 3.4 per cent output lost in 2020, it cautioned that the recovery is "uneven."
The OECD, which monitors and advises its 38 member countries, modestly downgraded its growth forecast for this year to 5.7 per cent from 5.8 per cent previously. For 2022, the OECD raised its forecast to 4.5 per cent from 4.4 per cent.
Among developed countries, the OECD said the U.S. economy is set to grow this year by 0.9 percentage points less than it anticipated in May, though at a still-healthy 6 per cent, while the 19-country eurozone is bouncing back by a full percentage point more than previously thought at 5.3 per cent. It left its China growth unchanged at 8.5 per cent.
Canada's economy is forecast to expand by 5.4 per cent this year, the group said. That's down from 6.1 before.
In its report, the OECD said greater international effort should be put in to provide low-income countries with the resources they need to vaccinate their populations, both for their own and global benefits.
"Ensuring the recovery is sustained and widespread requires action on a number of fronts — from effective vaccination programs across all countries to concerted public investment strategies to build for the future," said OECD Secretary-General Mathias Cormann.
