How will we accomplish an economic rebirth after Covid19

By Christiana Ioannou

March 6, 2021

The coronavirus is the most urgent and grave global crisis which is still affecting humans worldwide. The loss of ever-increasing human lives is heart-wrenching, and the death rate is continued to be high. The global tsunami has not only caused havoc on human lives, but it also has disrupted travelling, isolated the communities, and has broken the backbone of the global economy. The world saw an economic recession much worse than the 2009 recession. The world did not even experience such an impact after World War 2 in terms of economic crisis and public health on a scale unimagined by generations. Poverty, social inequality, recession, and inflation are the few economic setbacks of the pandemic. The countries are struggling to cope with these circumstances to contain the virus and revive the economy. Many policymakers have proposed many effective and balanced solutions to address both health and economic issues.

Here are some solutions suggested by economic experts for the effective and immediate revival of the economy.

In order to stabilize the future economy, countries need systems that will be capable of establishing and hold more human and physical capital. This system should make policies to encourage and boost new kinds of jobs and businesses both on a small and large scale.

There is a strong and immediate requirement to strengthen the private sector and supply more money and resources to the individuals so that more businesses can be created to increase revenue. Meanwhile, along with mitigation, countries need to focus more on providing liquidity to firms, households, and essential government services. In order to sustain economic activity, countries should prioritize the solution that can bring long-term benefits through short-term measures.

The recovery of economic activities demands the policymakers to make such policies to normalize the gradually decreasing public support. The all-encompassing and broader development challenges should be targeted to muster public favor.

Small businesses that boomed during lockdown should be encouraged and appreciated even after the economy returns to its routine. Small business owners can be of tremendous benefit to balance the see-saw of the economy.

Financial conditions should be relaxed so that foreign investors can find it easy to invest. The need for easy loan packages should be addressed to swift the firms’ availability to the credit.

The government should slow down or suspend bankruptcy procedures that speed the transfer of assets to safe creditors. This, in turn, badly affects the economy because these safe havens are banks.

The local economy should be encouraged and supported. Instead of exporting goods and services, countries should utilize their local resources and labor to save much from the tariff. By limiting the exports, the jobs will increase, and local business and economy are likely expected to take a positive turn.

There is also a dire need for universal cooperation and unity because the corona is not an issue of a single country; it has impacted the world equally. The developing and developed countries are on the same page in this difficulty. The superpowers should keep aside their differences and find solutions together to fight this battle effectively.

The government should provide relief to the public because self-employed individuals and small-scale businesses require technical and monetary assistance to keep pace with changing consumers’ needs and trends. Local artists in the developing regions should be given a chance to increase jobs and improve the social and economic conditions of backward areas.

But the foremost thing is the protection of lives, and livelihood comes second. Countries should not compromise on public health to rebuild the economy faster. Because doing so will give no advantage; rather, it will cost the lives as well as will reverse all the success.

Here are some solutions suggested by economic experts for the effective and immediate revival of the economy.

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