Pandemic had more effect on poor countries, business got shaken in a single year

Even though the corona epidemic has become a thing of the past and its cases have remained very less in the whole world, but its effect has not ended yet. 2-3 years of the pandemic have affected the world in such a way that it will take many years to recover. According to a recently published book, one of the most profound effects of the pandemic was that it widened the gap between rich countries and poor countries.

Trade decreased so much in 2020

Many things have been told about the impact of the epidemic in Arun Kumar’s new book ‘The Global Trade Paradigm: Rethinking International Business in the Post-Pandemic World’. According to the book, the pandemic sickened more than 64 crore people across the world and caused 6.4 million deaths. Due to this, the lockdown and other restrictions that took place for months also affected the business a lot. Citing UNCTAD figures, the author has said that in 2020, global trade declined by $ 2.5 trillion, or about 9 percent.

Rapid recovery in 2021

According to Arun Kumar, even though this decline in trade was less than the earlier estimates, but still it affected a lot. Earlier, it was being said in the estimates that due to the epidemic, there could be a decline of more than 10 percent in the global market in 2020. After that, in the year 2021, there was a sharp recovery in the business. Global trade is set to reach a new high of $28.5 trillion in 2021, nearly 13 per cent higher than pre-pandemic levels.

Full recovery of developed countries

The worrisome thing that came to the fore in this recovery trend is that its speed was not uniform. According to the book, the pace of decline that took place in 2020 was almost the same all over the world. There was a decline of around 10 percent in the import and export of developed countries in 2020. His recovery in the next year was almost the same.

These countries suffer the most

At the same time, the trade of other developed countries decreased by 10-12 percent in 2020. In the next year i.e. 2021, there was a recovery of 15 percent in their exports, while imports improved at the rate of 12 percent. Talking about the less developed countries, they faced a decline of 11 to 14 percent in 2020, but when the turn of recovery came in 2021, their exports saw a rise of just 6 percent, while imports increased at the rate of 11 percent.

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