World economy faces severe shrinkage, says IMF

The global economy is on track to shrink by up to 1% this year in the first worldwide contraction for 60 years, the International Monetary Fund (IMF) has warned.

In a gloomy report to the G20 countries, the IMF made a severe downgrade to previous predictions, forecasting global activity to decline by around 0.5% to 1% this year.