[Asia Economy Reporter Kiho Sung] The United Kingdom's GDP growth rate for May has turned positive. However, due to a prolonged economic downturn, it is expected to take a long time before a full recovery is achieved.
The UK Office for National Statistics (ONS) announced on the 14th (local time) that the GDP for May increased by 1.8% compared to the previous month. This positive growth rate was recorded as COVID-19 lockdown measures were partially lifted starting in May.
The UK's monthly GDP growth rate (compared to the previous month) shifted from 0% in February to a negative -6.9% in March when the COVID-19 lockdown was introduced, and further dropped to -20.3% in April as the lockdown continued throughout the month.
Although the UK's GDP returned to growth in May, it was evaluated as falling short of initial market expectations.
The decline in the UK's GDP was due to the COVID-19 lockdown measures. Previously, starting March 20, the UK ordered all cafes, pubs, and restaurants to close, and from March 23, all stores except essential businesses such as supermarkets and pharmacies were shut down. These lockdown measures were in place throughout April and have been gradually eased since May.
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