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What the Continued Global Uncertainty Means for You

January 19, 2021
By Hites Ahir, Nicholas Bloom, and Davide Furceri Global uncertainty reached unprecedented levels at the beginning of the COVID-19 outbreak and remains elevated. The World Uncertainty Index—a quarterly measure of global economic and policy uncertainty covering 143 countries—shows that although uncertainty has come down by about 60 percent from the peak observed at the onset of [...]

Five Charts on France’s Policy Priorities to Navigate the COVID-19 Crisis

January 19, 2021
France has been severely affected by the global pandemic, both in terms of health and economic impact. The key priority for the country remains saving lives while minimizing the economic costs of the pandemic.

Germany’s Post-COVID-19 Recovery in Five Charts

January 19, 2021
According to the IMF’s latest economic assessment of Germany, priority should be placed on setting the economy on a sustained recovery path by minimizing labor market scarring, protecting vulnerable people, and ensuring that viable firms remain in business.

France : Selected Issues

January 19, 2021
Selected Issues

France : 2020 Article IV Consultation-Press Release; Staff Report; and Statement by the Executive Director for France

January 19, 2021
France is among the countries most affected by the global pandemic, both in terms of health and economic impact. Output is expected to have declined by around 9 percent in 2020. The authorities put in place a large emergency fiscal package to address the crisis, focused on preserving jobs and providing liquidity for households and firms, supplemented by additional stimulus measures to support the economic recovery in 2021 and beyond. The banking sector entered the crisis with comfortable buffers and, together with the support of the ECB’s accommodative monetary policy, facilitated the provision of credit to the economy. The increased leverage, however, poses solvency risks to the corporate sector. A partial recovery with GDP growth at about 5½ percent is expected in 2021. Risks to the outlook are large, dominated by the virus dynamics and, together with other risks, tilted somewhat to the downside.

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