Coronavirus ‘could cost global economy $8.8tn’

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The coronavirus pandemic could cost the global economy between $5.8tn and $8.8tn (£4.7tn-£7.1tn), according to Asian Development Bank (ADB).

That’s more than double last month’s prediction and equates to 6.4%-9.7% of the world’s economic output.

It comes as measures to slow the spread of Covid-19 continue to paralyse economic activity around the world.

Globally authorities have taken aggressive action to cushion their economies from the outbreak’s impact.

“This new analysis presents a broad picture of the very significant potential economic impact of Covid-19,” the ADB’s chief economist Yasuyuki Sawada said.

“It also highlights the important role policy interventions can play to help mitigate damage to economies,” he added.