As many countries begin easing lockdown, all eyes are on what comes next. Policymakers hold the key to achieving the best possible recovery after the most severe recession in our lifetime, and they need to step up, says Swiss Re’s chief economist. Intelligent Insurer reports.
“A crisis of this magnitude is an opportunity to improve the structural underpinnings of our global economy, and infrastructure spending would definitely help.” Jérôme Jean Haegeli, group chief economist at Swiss Re.
· "Unusual dynamics" of recession expected to drive "paradigm shift"
· Concerns over impact of $12 trillion of global negative yielding debt
· Central bank purchases are huge but have "not peaked yet"
· Call to enhance policy stimulus to improve economic trend growth
Too little attention is being paid to the important role of policy stimulus in any post-COVID-19 recovery, yet it could set the scene for the strongest recovery possible, argues a top economist.
policymakers, post-COVID-19, recovery, Swiss Re, stimulus, recession, resilience, China, negative yielding debt, Jérôme Jean Haegeli, paradigm shift