Fed officials project the economy will contract 6.5 pecent this year before returning to grow at the fastest pace since the 1980s next year.
That would be the fastest annual growth in gross domestic product since 1984.
Fed chairman Jerome Powell emphasized, however, that the coronavirus pandemic has created a lot of uncertainty around economic developments.
“As we look ahead, we see the path for the economy is highly uncertain,” Powell said in a press conference following the two-day meeting of the Federal Open Market Committee, the central bank’s monetary policy panel.
TRUMP ECONOMY UNBREAKABLE! – Fed Officials Project 5% Growth in 2021, No Rate Hikes Through 2022 https://t.co/YKyQWF4nKm via @BreitbartNews
— Bill Mitchell (@mitchellvii) June 10, 2020