Everything is not okay

A series of impractical and confusing recovery policies heightened business, investment and employment uncertainties.

Owing to a prolonged combination of health, supply and demand shocks, and a botched response to containing the spread of the novel coronavirus, the pandemic is severely affecting the economy. These shocks, along with preexisting economic and governance weaknesses, have increased the likelihood of subdued economic activities well into the medium-term; that is, the ongoing economic pain may not be a temporary phenomenon. The poorest households, informal sector workers, and those working in contact-intensive services have been disproportionately affected. Consequently, both poverty and inequality are expected to increase. Furthermore, many micro, small and medium enterprises are expected to face bankruptcy, as consumer demand remains muted and supplies continue to be disrupted.