The world was moving with the high expectation of economic growth. No one even conceived that the situation might get worst due to the disaster named “COVID-19“, which first get identified in December 2019 in Wuhan. But it becomes a matter of concern for the economist when the virus spread all over the world and start influencing the business & job sectors.
The pandemic situation forces the governments to decide on the matter of lockdown so that, the chances to spread the virus may curb. This crucial decision of the governments may improve the current situation, but it heavily influences the business and job sectors of the countries. The import & export-related businesses are confronting the most challenging time since the transportation facilities have been closed following the pandemic situation. The owner of the companies(mostly medium & small) is facing huge trouble in repaying the loan with interest due to low-income growth. Most companies are retrenching their employees because they cannot pay their employees. On the other hand, companies aren’t publishing new job circular that may further increase the unemployment rate of a country.
How COVID-19 is influencing the business & job sectors
Most researchers have claimed that businesses which are related to apparel, electronics, manufacturer of luxurious products, real estate, automotive & shopping products are going to confront the economic crisis in the following days. While businesses which are associated with producing medicine or medical equipment & agricultural products including rice, vegetables, fisheries & other essential items are going to make a profit since the supply of these essential items may reduce in the following days. It is expected that e-commerce sectors will play a vital role in the coming days.
How COVID-19 is influencing the business & job sectors
Besides, the banking sector may face a liquidity crisis since the depositors are withdrawing their money to cover the expenses of home rent & purchasing all essential items. Along with this, banks won’t be able to receive their given loans with interest since most of the businesses are facing a downward in the profit ratio that may increase the number of loan defaulters. Moreover, because of this situation, the capital market may get worst further.
However, it seems that the situation will not be going well soon, according to the World Health Organization (WHO). So, this is the high time to take the necessary & alternative steps to stabilize the economy.
