China will overtake the US to become the world’s largest economy by 2028, five years sooner than previously forecast, on account of this COVID-19 pandemic, a report has found.
The Centre for Economics and Business Research (CEBR), a UK-based think tank, also said in its yearly World Economic League Table published on Saturday that among the consequences of this worldwide health catastrophe has been”to redistribute economic downturn with Asia doing greatest and Europe worst”.
China’s”skillful direction of this pandemic” along with the long-term effect the pandemic will have on Western expansion signifies China’s”comparative performance has improved”
“We think that the Chinese market in dollar terms will probably overtake the US market in 2028, a whole five years sooner than we thought this past year,” the report says.
It notes for example that police responded”aggressively” to the COVID-19 catastrophe, thus inflicting less damage on the market. Because of this, while many Western markets are expected to register negative growth for the entire year, China is predicted to record a two percent growth rate.
It’s then predicted to rise by a yearly 5.7 percent between 2021-205 and 4.5 percent annually in 2026 to 2030 and 3.9 percent in the subsequent five decades.
By comparison, the US is estimated to rise by a yearly 1.9 percent from 2022 to 2024 and after that by 1.6 percent after a”powerful post-pandemic dip” next year.
“For a time, an overarching theme of international economics has become the economic and soft power battle between the USA and China. The Covid-19 pandemic and corresponding financial fallout have tipped this competition in China’s favor,” the report states.
The US is the world’s most affected nation having lost over 330,000 resides to the pandemic and listed almost 19 million ailments because the start of the outbreak, according to a tally from Johns Hopkins University.