Last week, the 26/03 the representatives from the G20 member countries met to discuss and find solutions against the pandemia Covid-19. The importance to be all together during this crisis has been underlined. One of the taken decisions is to inject around 5000 billion dollars in the world economy. Today is the 2nd of April and the number of confirmed deaths worldwide due to the Covid-19 is 46,891 (https://ourworldindata.org/coronavirus ). The number of confirmed cases again worldwide is almost 1,000,000. We see also an alarming quick growth in the USA and another alarming beginning outbreak in Africa.
The EU Council discussed some points about the management of the crisis inside countries ; suspension of the Stability Pact, helps from governments to firms, liquidity injection done by the European Central Bank. As a report from the European Council, one option was to set Eurobonds and the other was to use the European Stabilisation Mechanism. Finally none of the ideas were accepted because Nordic Countries were reluctant to it.
This crisis is not comparable to any economic crisis coming from a crash for example but more likely to a natural catastrophe or war which means that this is not gonna slow down our economy but destoy our wealth and resources. The consequences will be important. I am here only talking about the economic side, and not mentioning the consequences on health, psychological side and neither social aspects. But it's important to be informed anyways on what is economicaly and politicaly going on.
Last week again, Ursula Von der Layen, president of the European Comission, called for solidarity between nations. There we have seen how the different countries stocked them-selves into division and nationalism. Fear is always the reason for such behaviors going against the main values of the EU. The only point discussed together was about Eurobonds and financial help.
The G20 asked to some international organisations like the World Health Organization and the International Monetary Fund to help the emerging countries even more exposed to the danger on a sanitary level but also on an economic level. The weaknesses of the social welfare system in those countries are gonna be an issue in such times. The importance of an inclusive and egalitarian health care system will probably be more than ever demonstrated.
It will be important for the coming times to organise better worldwide economic governance by giving to those international organisations the power of taking actions and the needed resources. In fact, we will need an organised support in different countries and especially in the poor ones from them and then an efficient reconstruction of all the economies.
To make the 5000 billion efficient the different countries and organisations have to share it properly to profit to everyone. Then we can talk about finding solutions in solidarity. All together and show that a cooperation is possible in the difficult times.