Motilal Oswal: Global GDP Shrinks 7.2% In Q2 2020 But Here’s The Surprising Thing

Motilal Oswal: Global GDP Shrinks 7.2% In Q2 CY20; Surprisingly, Government Consumption Spending Remained Stagnant

A bus conductor displays Indian bank rupee notes for a photograph in Coonoor, Tamil Nadu, India. (Photographer Dhiraj Singh/Bloomberg)

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Motilal Oswal Report

In an effort to provide quarterly update on global gross domestic product and its key components, we collected data on 39 nations .

These include 19 Euro Areas (EA) countries, comprising 86% of the world economy, 94% of the advanced economies (AEs) and 73% of emerging and developing economies (E&DEs).

Our estimates suggest global real GDP contracted 7.2% YoY in Q2 CY20, marking the worst decline since 1997 (since our series began).

Global real private final consumption expenditure (PFCE ) declined at record 11% YoY last quarter (versus 2.1% YoY decline in Q1 CY09) while global real gross capital formation (GCF ) fell only 6% (versus 16% in H1 CY09), and global real government final consumption expenditure (GFCE5 ) remained stagnant in Q2 CY20.

Click on the attachment to read the full report:

Motilal Oswal Ecoscope GDP.pdf
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This report is authored by an external party. BloombergQuint does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the brokerage and do not represent the views of BloombergQuint.

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