Cordros Securities, a Lagos-based asset management firm, has cautioned that the global economy will continue to face turmoil until a vaccine is approved on a larger scale to manage the COVID-19. The firm highlighted this in its latest outlook for 2020, this week.
The global economy has been roiled by total, and recently partial, inactivities. Consequently, industries face austere outlook for the rest of the year. Businesses are looking up to government for bailout or stimulus to avoid bankruptcy. More, the International Labour Organization [ILO] has warned that half of the 3 billion global jobs could be wiped out by the pandemic.
The asset management firm painted a grim picture of the immediate future. It said, “For the rest of the year, the economic consequences of the pandemic have set global growth on course for its worst yearly outturn since World War II. We align with the view that without a vaccine, it is unlikely that economic activities will pick up pace anytime soon, given the risk of spread which could force the institution of a fresh round of lockdowns.”
“Thus, we see no respite in sight for global economic activities over the rest of 2020”, it added.
This outlook should serve as a guide for businesses as government mull opening or shutting further areas of the economy in Africa, North America and Europe especially.