Lockdown measures to combat COVID-19 have significantly impacted economies worldwide
Leading economies might face recession due to extended lockdown. Source: pixabay.com
According to GlobalData, real GDP growth of major economies such as the US, Eurozone, Russia, South Korea, and Australia is expected to drop sharply this year.
Nevertheless, most economies are forecasted to face a V-shaped recovery of GDP growth in 2021, the report found.
The fact that all the major cities worldwide entered lockdown led to a damaging hit to sectors such as tourism, retail, manufacturing, and foodservice. As for now, governments are considering several measures to recover the economy.
The US Bureau of Labor Statistics revealed that unemployment in the country grew to 14.7% in April 2020, up from 4.4% in March. Canada is second highest with a 13% rate of unemployment, followed by Australia with a 5.2% increase in March.
Besides, some European countries such as Germany, France, Ireland, Belgium, Spain, and Italy have begun partially easing the lockdown.
Austria and Denmark have reopened schools, whereas Germany has reopened shops and allowed outdoor exercise. Meanwhile, Italy has allowed domestic travel and retail and museums to open.
We’ve reported that the use of financial apps in Europe has increased by 72% in a week due to social-distancing amid the COVID-19 outbreak.
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