New Delhi: The global rating agency Moody’s Investors Service believes that the decline in credit due to the Corona epidemic is short-lived but that most economies around the world will reach pre-Corona levels by 2022 next year. Last year in 2020, the World Health Organization (WHO) declared corona as an epidemic on March 11, and then caused havoc around the world. Due to this the economies of the world were severely affected and due to bond defaults there was a credit downturn.
Moody’s in its global report said that due to Covid-19, credit-related challenges have come up all over the world, but the decline will remain for some time. Moody’s predicts that the pace of global recovery will slow and uncertainty about macroeconomic outlooks will remain above normal. Moody’s says that due to mutations one has to get into the habit of living with the corona virus.
According to Moody’s, after the slowdown of the epidemic, policy actions will support economic activity and financial markets. Policymakers will continue to support economic activity for a long time and in some cases they will support for years.
Moody’s has hoped that the epidemic will gradually subside in 2021 this year, as the vaccination program intensifies. This will help the government relax the lockdown instructions. However, where vaccination progress will be slow, there will be concerns related to corona infection.
