COVID-19 will lead to true restructuring of global systemtext_fields
Abu Dhabi: The balance of power will tip in favour of China in a post COVID-19 world and the US may take longer to recover compared to countries in Asia, a new report has said.
According to predictions by Khuloud Al Omian, Editor-in-Chief at Forbes Middle East & CEO of Arab Publisher House, the world will be better prepared to deal with a crisis like COVID-19.
There are different opinions about how the COVID-19 pandemic will change the world long after it gets past the crisis. But no one is saying that the world will be the same again after normalcy returns and all economic activities resume.
It is not just recession and the impact of a slowing economy that the world is worried about.
While the International Monetary Fund (IMF) has said that there are lessons to be learnt from China where manufacturing activities restarted in March following a sharp decline in February, some even feel that there could be a true restructuring of the global system in a post-COVID-19 world order.
So much so that such a similar crisis may not hit productions much in the future as the production infrastructure will get highly automated which will help save energy and lower cost of production, while also improving quality.
"Such changes may also lead to a cut in the number of working hours for employees, allowing them more time to focus on their health".
As the widespread restrictions due to COVID-19 have taught many organisations about the benefits of remote working, the world could be moving towards a future without brick-and-mortar offices at large, she said in an article published last week.
The increased adoption of video-conferencing tools may also lead to drastic cut in business travel.
"Overall, confidence in technology will increase which in turn will change consumer behaviour, helping them to adapt to new trends," the Forbes Middle East Editor-in-Chief predicted.
While there will be more investment on healthcare and healthcare products even after normalcy returns, the positive impact that the pandemic has had on the environment may last, she added.
The IMF was set to release its World Economic Outlook on Tuesday, which will give details on the economic impact of the COVID-19 pandemic.