Connect with us

Hi, what are you looking for?


Lockdowns here to stay, even with vaccine plan

Covid19 road layout

More lockdowns and social distancing – even with a global vaccine rollout in place.

That’s the sobering forecast for 2021 from Laurence Boone, the chief economist of the Organisation of Economic Cooperation and Development.

“We probably have another six to nine or twelve months of this ahead of us,” she told the BBC.

“I’m not saying it’s easy, I’m saying we’ve seen that it worked in 2020”.

“We must keep going both with the non-pharmaceutical measures, the government support and deploy the vaccine, as long and efficiently as fast as efficiently and securely as possible.”

A new strain of the virus has led to fresh lockdowns in many parts of the world – including countries in Asia, such as South Korea, that have up until now managed to constrain new infections.

Nevertheless, the OECD says the global economic outlook for 2021 will improve – albeit from a low base.

It is expecting global GDP to rise to pre-pandemic levels by the end of this year, but warned that recovery won’t be equal across all countries.

China, for instance, is expected to grow by 8% in 2021, while other OECD member economies are expected to grow by just over 3% on average.

The international economic body added that how well countries will recover will depend on how smooth the rollout of vaccines is.

Higher debt ahead

Speaking from Paris, Ms Boone also explained that governments have to keep spending to help shore up their economies in the face of this unprecedented crisis – even if that means adopting a more relaxed attitude to managing national budgets.

“These measures that we have strongly advocated do make sense because this crisis is temporary. So we’re talking about temporary measures and a temporary increase in debt to GDP ratio,” she said.

“Once we’re out of the crisis, the economic fabric would have been preserved thanks to these measures, then we will have to take a step back, look at the evolution of public finances across country not only since COVID-19, but also since the financial crisis and see… whether governments are spending their money on the right priorities.”

This is a different approach from the advice the OECD gave countries in the wake of the global financial crisis of 2008, when it advocated austerity.

The stark forecast highlights how challenging the health crisis has been for both rich and poor countries – and the difficult road they now face.

The OECD also warns of widening inequality, with lower paid workers in informal jobs at most risk.

Read more:
Lockdowns here to stay, even with vaccine plan

Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Get the daily email that makes reading the news actually enjoyable. Stay informed and entertained, for free.
Your information is secure and your privacy is protected. By opting in you agree to receive emails from us. Remember that you can opt-out any time, we hate spam too!



It brings you to nature’s embrace. This picturesque 100-hectare Swiss-inspired luxury community in Tagaytay City, after all, does not only regale you with breathtaking...


A rare Mercedes-Benz racing car known as the Mona Lisa of cars has been sold by the company for a record £115 million. The...


New research has revealed that only one in four civil servants believe their department is following the Government’s National Data Strategy, with skills and...


Australian mining and logistics firms are interested in doing business in the Philippines according to Australian ambassador Steven J. Robinson, who cited policy reforms...


As Sunday Times Rich List shows record number of UK billionaires, their gains should be taxed the same as income from work Huge increases...


A battle is shaping up between major retailers over whether the UK should introduce an online sales tax, with Sainsbury’s demanding it to help...

You May Also Like


Having a good Instagram marketing agency to back up your Instagram account is an absolute must going into the new year. With competition stronger...


Ivermectin, an existing drug against parasites including head lice, has had a checkered history when it comes to treating COVID-19. The bulk of studies...


Insomnia is the most common sleep disorder in the global population. Therefore, it is a problem that many people suffer or have suffered throughout...


As a traditionally rigid insurance industry becomes bogged down by antiquated processes and operations, a handful of industry leaders are seeking to shake things...

Disclaimer:, its managers, its employees, and assigns (collectively "The Company") do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

Copyright © 2021 SmartRetirementReport. All Rights Reserved.