United Nation economist explores post pandemic economic challenges

October 12, 2021: Dr. Aadil Nakhoda, Assistant Professor and Research Fellow at CBER, School of Economics and Social Sciences, organized a guest speaker session for the Development Economics II students. Mr. Piergiuseppe Fortunato, who is currently serving as an economist at the United Nation Conference for Trade and Development (UNCTAD) was invited as the guest speaker.

The session revolved around the different ways of how economies coped with the Covid-19 pandemic. Presenting the TDR21 report, the speaker highlighted the widening gap between developed and developing economies. The blast to the economy was massive and it was estimated that 3.5 % of global GDP was lost. The pandemic also brought forward one of the worst recessions the world has witnessed since WWII and the world oil crisis. Not only this but Covid-19 deepened income inequalities further. The differences between the developing countries and the developed countries have become starker. Different countries were hit differently and similarly different sectors of the economy were also affected in different ways. For example, the hospitality industry suffered immensely with borders being closed.

The divide between the developed and developing regions has grown and the developing countries would now need more assistance than ever before to overcome their problems.

He also talked about how the pandemic has changed the trade and interactions between countries and has slowed the progress towards the 2030 agenda.

The crux of the session is that governments need to be highly strategic in trying to recover from the pandemic as it will be an arduous journey. Some developed countries are on their ways to recovery, while developing nations may need assistance.