COVID-19 pushing much of the world into record economic slumps

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COVID-19 pushing much of the world into record economic slumps
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COVID19 pushing much of the world into record economic slumps

PARIS - The coronavirus pandemic has pushed most of the world's major economies into unprecedented contractions in the second quarter, except for China which escaped a recession.Europe's top economy was hit less hard by the coronavirus than its neighbours, but still saw its GDP fall by 10.1% in the second quarter.

As GDP had already declined by 2% in the first quarter, Germany's economy met the definition of a recession: two consecutive quarters of contracting GDP. Germany's previous record for a quarterly GDP drop: 4.7% in the first quarter of 2009.The eurozone's number two economy was in a longer and stricter lockdown than its eastern neighbour, and second-quarter GDP fell more steeply, by 13.8%, after a drop of 5.9% in the previous three months.

In the second quarter, its economy rebounded by 11.5%, having fallen by 10% in the first quarter. Still, growth for this year will be much below what China has become accustomed to for decades.Japan announced in mid-May it was already in recession when the first-quarter GDP slid by 0.6% after a 1.9% drop in the final quarter of 2019. The world's number three economy has yet to publish second-quarter GDP figures.

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