The global economy last year suffered its worst plunge in output in more than seven decades after the coronavirus inflicted a devastating blow.
But a rebound — tentative and likely subdued but nevertheless healthy — should take root this year, as long as the economy manages to withstand an array of threats.
That’s the view of the World Bank in its latest economic forecast. It estimates that global output shrank 4.3% in 2020 — the sharpest fall since a 9.8% drop in 1945, when the world was beginning to demobilize after its buildup for World War II.
The World Bank said it foresees growth rebounding to 4% this year. That would be the most robust gain since a 4.4% rise in 2010, when the world was beginning to emerge from the Great Recession.
But the World Bank cautions that any one of several risks — from a failure to properly manage a resurgence of the virus to continuing delays in distributing and administering vaccines — could potentially reduce global growth to a meager 1.6%.