These days, we're all wondering the same things:
- How will the economy be affected by COVID-19?
- What's in store for the economy in the months and years ahead?
- Are we headed for a recession?
- What do I need to do to prepare my business or organization for impending economic shifts?
In China and South Korea, policy initiatives, healthcare response and social distancing measures have resulted in containing the virus, to a certain extent.
Worldwide, production stock has dropped due to the virus's prolonged effect. Supply chains, the consumer goods industry and manufacturing sectors have been adversely affected, along with the retail industry. Many companies face bankruptcies. In the U.K., for example, airline carrier Flybe has collapsed.
In this scenario, if the virus is not seasonal (as healthcare experts assume), infection cases will continue to grow in the second and third quarter, and healthcare systems will be overwhelmed. The surge of new cases will delay recovery in consumer confidence to the third quarter or beyond, which may lead to recession, with global growth in 2020 falling to 1.5% or less.
For additional intel into the impact of COVID-19 on the global economy, download a free overview of our full report, The COVID-19 Fallout: BCC Research Report on the R&D, Economic Impact and Future Implications.