The Coronavirus pandemic that continues in the world, not only causes a health crisis. To make matters worse, the economies of a number of countries have also been destroyed and are in danger of experiencing a recession.
In this time, Britain officially experienced an economic recession during Most recently the Covid-19 pandemic. The news was announced Wednesday (12/8/2020).
A recession, according to financial writer David Rodeck, quoted from Forbes (June 15, 2020), is a significant decline in economic activity that lasts for months or even years.
A country is said to be in a recession when the economy experiences negative gross domestic product (GDP) for a long period of time.
Pandemic Covid-19 Makes Several Countries Into Recession
These conditions will increase the number of unemployed, decrease retail sales, and measure the contraction of income and manufacturing for a long time.
The pandemic, Coronavirus which has now infected more than 20 million people in various countries, has now triggered a recession. Apart from the UK, there are many countries whose economies have fallen into recession.
Here are five Countries Experiencing Economic Recession during the Covid-19
Philippines is one of the Southeast Asian countries that is officially experiencing recession. Their economy was devastated after re-imposing social restrictions on the capital Manila.
According to Channel News Asia, the news of the economic recession was announced by the Philippine Statistics Authority on Thursday (6/8), calling the current condition the biggest slump in gross domestic product (GDP) data since 1981. The country recorded a GDP shrinkage of 16.5 percent throughout April to June quarter. Meanwhile, in the previous quarter, GDP contracted by 0.7 percent.
Singapore is also a Southeast Asian country that has fallen into the brink of recession. This was after the closure of the business sector was extended due to the Covid-19 pandemic.
Adapted from Bloomberg, compared to the beginning of the year, Singapore’s gross domestic product (GDP) fell 12.6% in the second quarter.
Likewise with the value of the Singapore dollar. The Singapore dollar fell 0.2% to S $ 1.3930 against the US dollar.
3. United States
United States is also affected by the recession which is the impact of the Covid-19 pandemic.
According to Sky News, the economic growth of the country led by President Donald Trump was reported to be minus 32.9 percent in the second quarter of this year. This condition is quite far from the economic growth in the first quarter of 2020 which only experienced minus 5 percent.
Japan has also fallen victim to the economic recession amid the Covid-19 pandemic. The causes were similar, consumer spending slumped amid social restrictions.
According to the Japan Times, Japan’s gross domestic product (GDP) shrank an annualized 3.4% in the January to March quarter.
5. European Quartet
The recession also targets European countries. Apart from Britain, at least Italy, Spain, France and Germany also fell victim to the atrocities of the Covid-19 pandemic.
According to DW, Germany’s gross domestic product (GDP) shrank by 2.2% in the first quarter. This decline is the worst since the global financial crisis in 2008, and the second worst after German reunification. Meanwhile for Italy, Spain and France, this is one of the worst recessions ever experienced.