So it has come to this – the situation regarding the COVID-19 outbreak has gotten bad enough that it has warranted the Government of NZ to declare a nationwide lockdown for the next 4 weeks (and possibly even more – depending how the situation develops). To be fair, we are one of the lucky ones – our Government acted quickly and decisively, taking a cue from other countries that managed the early stages of the infection well and learning the lessons from those who didn’t. While some parts of the world struggle with the decision to take harsher measures to stem the tide of the virus, our Government declared that we would take an economic hit now for a safer, more prosperous future.
Welp.
Key word here is: Economic Hit
Ouch.
Ok, so it’s not all doom and gloom. Readers of my blog would have known that we would have been heading for a recession since late 2019. More savvy readers would have had time to stash cash away for a rainy day. So, hopefully, most of you reading this are not doing too badly. The global economy has taken such a major shock that it will, without a doubt cause a global recession which can be far-reaching in its impact.
Remember how I said that recessions typically affect regions of the world – well, I take that back, this recession is going to encompass the whole world. COVID-19 has spread at an alarming rate which many of us could not have expected. Countries that have not been badly affected are scrambling to close their borders and lockdown their populations. Countries that have failed to do so face thousands of deaths and infections spreading beyond their control. It does not take an economic genius to tell you that it will not be business as usual for a very long time for the entire world.
As I sit here at home in my corner of the world, obeying the Lockdown orders in NZ, I can’t help but ponder the economic fallout that will result from the COVID-19 recession. How many small businesses will suffer? How many more will perish? How many people will lose their jobs? How much can governments give to support those who lost their income?
Many questions that I don’t have the immediate answer to. But, hey, now that I am doing this clog (comic blog – let’s make it a thing!) full time I have plenty of time over the 4 week lockdown period to research and answer those questions the best I can. That, and I am taking up the 30-day blogging challenge – where I will post fresh new content EVERYDAY for the next 30 days. If you have any questions, I can be reached through my Facebook page – just hit like, follow me and drop me a message. I will do my best to answer your finance-related questions!