The COVID-19 pandemic is inflicting high and rising human costs worldwide, and the necessary protection measures are severely impacting economic activity. As a result of the pandemic, the global economy is projected to contract sharply by -3 percent in 2020, much worse than during the 2008-09 financial crisis
Monitoring, containing and mitigating the effects of the corona virus are top priorities. Timely and decisive actions by health authorities, central banks, fiscal, regulatory and supervisory authorities can help contain the virus outbreak and offset the economic impact of the pandemic.
The coronavirus (COVID-19) pandemic poses unprecedented health, economic, and financial stability challenges. Following the COVID-19 outbreak, the prices of risk assets collapsed and market volatility spiked, while expectations of widespread defaults led to a surge in borrowing costs.
This report argues that fiscal policies are at the forefront of responding to the COVID-19 pandemic. Fiscal measures can save lives, protect the most-affected people and firms from the economic impact of the pandemic, and prevent the health crisis from turning into a deep long-lasting slump.
The COVID-19 pandemic is creating severe disruption in the global economic and financial system. Many member countries face urgent and unprecedented financing needs. The paper proposes to enhance the Fund's emergency financing toolkit, through a temporary increase in access limits for both the Rapid Financing Instrument, available to all members, and the Rapid Credit Facility, available to Poverty Reduction Growth Trust-eligible members only.
In addition to the devastating toll on human health, the COVID-19 pandemic is causing significant economic turmoil through simultaneous supply and demand shocks-plunging oil and commodity prices, dropping domestic and external demandfalling consumer confidence, tightening financial conditions, and disruption in production and global supply chains. Consequently, as in the other parts of the world, a severe hit to economic activity is expected in the Middle East and Central Asia region in 2020.
Regional Economic Outlook, April 2020, Sub-Saharan Africa : COVID-19: An Unprecedented Threat to Development
Sub-Saharan Africa is facing an unprecedented health and economic crisis that threatens to throw the region off its stride, reversing the encouraging development progress of recent years. Furthermore, by exacting a heavy human toll, upending livelihoods, and damaging business and government balance sheets, the crisis threatens to retard the region's growth prospects in the years to come.