The global shutdown has impacted numerous countries, countless industries, communities, economies, and people, leading toward a slow paced system. Due to this pandemic, it is quite evident that the economic damage will be far more challenging and devastating for most countries and rebuilding the post COVID-19 economy is no easy play. However, the hardest hit will be on countries like Turkey, India, South Korea, or Iran where the public health issues are a major concern.
The corona crisis has exposed some major inline flaws of the international structure. From having the type of job, to the community people live in, or the country they reside, the pandemic has affected everyone differently.
One of the biggest challenges the lockdown has endured is massive unemployment, which subsequently means reduced demand, supply, and consumption, thereby leading to slash in production and investment and a shrunk economy. Released data from the US Bureau of Labor Statistics highlighted that the unemployment rate has skyrocketed to 14.7 percent last month – the highest since the Great Depression.
Navigating the economic fallout- job loss, mental health condition, and more
There is no clear picture of a “normal life” in the horizon or how a “new normal” life will look like. Substantial job loss, looming mental health issues, inflated assets, healthcare deficiencies, are already murking the world with its ugly strain. With all these issues that every country is grappling with, analyzing the economic fallout caused by the pandemic will be massive and prolonged.
Aside this, the world economy is predicted to lose about $8.5 trillion output in the next two years. The pandemic is likely to expunge almost all gains of the previous four years, a study highlighted. This will subsequently push millions of people to extreme poverty by the end of 2020. A scientific report underlined that the disease could last for 18-24 months and will keep rolling until 60-70 percent of the human population is immune to the virus. This forecast may sound bleak but the only hope that exists amid this crisis is community resiliency to rebuild the neighborhoods, cities, and then the country at large.
Rebuilding the post COVID-19 economy through sustainability
Fancy promises or believing in magic will not help in reviving the losses, rather, a sharp, flawless, and a long-term plan will diffuse the challenges and hurdles standing on the forefront.
Needless to mention, the post covid world will be distinct from the present setting. The “new normal” should focus primarily on building a better backbone to support such startling occurrences. A fundamental theme that we need to learn is to prepare ourselves physically, economically, and mentally to confront such a crisis.
This pandemic is not the last one to affect humankind. There are several warning signs impending unprecedented economic disasters such as climate change, future virus outbreaks, biological warfare, and so forth.
While an overwhelming recession is evident in most countries, it is also imperative to note that advanced sustainable goals and resilient societies are crucial to impede future catastrophe. To rebuild the lost economy, government and policy makers should build progressive economies, one that is clear, strong, and contains a long term sustainable plan. The strategy should focus on improving the past track records.
Focusing on the 2030 agenda for sustainable development can turn out to be a great action plan to strengthen universal prosperity and reduce extreme poverty. Besides, countries should strengthen the public health system, i.e., more affordable and accessible basic public health along with investment in education and skill development for the driving forces of the country.
Do you have a sustainable plan to revive the crisis? Let me know in the comments below.