SA Economy: COVID-19 Hard Times Require Good Economics

Thebe Mabanga

The bad news have started turning from a trickle into a flood. The question now is no longer how severe the impact of the spread of COVID-19 but rather how long it will last.

A range of indicators and National Treasury’s own assessments have made it plain clear that we are all in for hell of a ride.

COVID-19 is truly turning out to be the Black Swan event of 2020 and once it has passed, hopefully this decade.

Last week, it was reported that GDP for the United States contracted by 4.8% for the first quarter of 2020 with unemployment claims for the penultimate week of April rising by 3 million, after rising by 4 million the week before.

At the same time, the Eurozone GDP was found to have shrunk by a record 3.8% in the first quarter.

The Eurozone is a key destination for South