How is the Coronavirus affecting the global economy?

The spread of the coronavirus (COVID-19) is a major adverse shock to both the supply side and the demand side of the economy. The supply side and demand side shock will cause a downward shift of the supply and demand curve, implying that employment levels will decrease significantly. Several economists have argued that much of the negative economic effects and job losses that we are seeing is due to the supply ...

Read More

Central Banks respond to the economic risks caused by the spread of the Coronavirus

Following the spread of the Coronavirus, Covid-19, risky asset and commodity prices have fallen sharply, and government bond yields reached all-time lows. The Bank of England voted unanimously to reduce the Bank Rate by 50 basis points to 0.25% on 10 March 2020 in order to help UK businesses and households manage through the economic shock caused by the spread of the Coronavirus. Commenting on the interest rate decision by the ...

Read More

Economic implications of the Coronavirus

As the Coronavirus (COVID-19) continues to spread across the world, major economies are experiencing mounting pressure as consumer spending, production and investment are drastically cut. Subsequently many companies and governments are therefore facing urgent economic challenges. While the situation is unprecedented, the global investment community is bracing for the impact. Sweden’s minister of finance, Magdalena Andersson, said during this Wednesday’s press conference that the Swedish economy is expected to grow ...

Read More

Beyond 2020: Business Priorities for the next decade

The focus of the BCC Annual Conference on the 5 March 2020 in London was placed on the key issues facing Britain’s community. Adam Marshall, Director General for the British Chambers of Commerce, states that the key priorities of our Chamber business communities for 2020 and beyond is to seize new opportunities and help the UK rise to new challenges. Economic performance depends on business confidence and it’s important to ...

Read More

Towards a modest economic recovery in 2020 as uncertainties go down

Financial Forecast with Christian Keller, Managing Director and Head of Economics Research, at Barclays. The global economy is in a slowdown. Barclays global growth forecast projects real GDP will rise from an estimated 3.1 percent in 2019 to 3.2 percent in 2020 and 3.5 percent in 2021 – which is a slight downward revision of previous projections. The global economic slowdown is a consequence of rising trade barriers, geopolitical uncertainties and ...

Read More

A moment of opportunity

2020 marks the beginning of a new decade and an important moment in time where many elements will remain uncertain. Europe now has a “moment of opportunity” to tackle global challenges, as Chrisitne Lagarde expressed it in her first speech as the new president of the European Central Bank (ECB). The year ahead will likely be dominated by EU-UK Brexit negotiations, the US presidential election and an increasing anxiety about ...

Read More

Boris Johnson and the Conservatives wins a decisive majority

The Conservatives, led by Boris Johnson won a resounding mandate to 'get Brexit done' in the British general election 2019. As Labour strongholds fell to the Conservatives Boris Johnson now holds a large majority in the parliament. Prime Minister Boris Johnson has said that this was a mandate to take the UK out of the EU by next month "no ifs, no buts". Boris Johnsons victory is the biggest majority for ...

Read More

Brexit uncertainty persists

The uncertainties around Brexit persist, after the parliament rejected Boris Johnson's accelerated timeline for Brexit, he has now pushed for an early general election in December. In order to avoid chaos and an atmosphere of conflict between the EU27 and UK, the European Council agreed to extend the Brexit deadline until 31 January 2020. Boris Johnson has repeatedly said that the UK would leave on 31 October, but the law ...

Read More

Swedish EU Commissioner Cecilia Malmström gives a speech on the ‘Truths about Trade’

In a world of constant and instant communication it can be difficult to hold on to truths and facts. In her speech Cecilia Malmström highlights the many ways in which free trade can have a positive effect on the global economy and be a part of the solution to contemporary issues such as climate change and civil rights.  Outgoing Swedish Trade Commissioner Cecilia Malmström gave a speech on the 'Truths about ...

Read More