This year's production figures are reminiscent of the Great Depression of the 1930s, according to the International Monetary Fund. The world is at risk of widespread low investment, trade and employment, the fund said.

Gita Gopinath, an economist at the fund, said this week, "The overall deficit in production will be 110 trillion compared to the previous epidemic.  280 trillion from 2020-21 to 2020-25."

The fund has praised the incentive schemes introduced by central banks around the world. These plans have mitigated the impact of COVID-19 on the global economy. The fund has also warned that the early removal of these support packages could have a devastating effect on reform efforts.

"Large global fiscal support of close to १२ 120 trillion and massive interest rate cuts, liquidity flows and central bank purchases will save lives and livelihoods and prevent a financial epidemic," Gopinath said.

"As far as possible, the policies will aggressively focus on limiting the existing economic losses from this crisis," he suggested.

According to the fund, the supply potential of most economies will suffer in the long run. The fund has said it will leave scars from this year's deep recession.

The World Bank has warned that another 150 million people will be pushed into extreme poverty by 2021.