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4 Ways How COVID-19 Has Impacted Businesses & The Economy

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The last time the world experienced such a significant economic downturn like the current COVID-19 period was almost a century ago in the 1930s during the Great Depression. Experts have raised concern this economic crisis of 2020 could very well change the world and shake its very roots of financial stability.

1. Fastest stock market crash in history

In early March, the stock market saw a tremendous downward plummet by more than 20 per cent – even before the reality of the pandemic has settled in the United States. That was the fastest decline everyone has ever witnessed in the stock market. Markets have considerably gone down by huge percentages, and financial firms are also expecting a significant fall.

2. The pandemic has affected jobs worldwide

The economic impact of the COVID-19 pandemic that was previously only being merely speculated, is now a reality. According to the United Nations (UN), the jobs of as many as 3 billion people worldwide have been affected. This represents a remarkable 81 per cent of the working population worldwide.

This pandemic has ushered in the fastest and deepest economic shock with massive lay-offs and tremendous job loss for workers not seen in decades. Workers are losing their jobs, and every aspect of aggregate demand such as exports, consumption, and capital spending have all taken a nosedive.

3. Global shutdown of activities

Before COVID-19, no global catastrophe has forced a total shutdown of the majority of economic activities worldwide. Right now, events are forced to cancel or be postponed. Socialising and entertainment options are limited to online and at home. Physical stores of non-essential businesses are temporarily closed. Citizens are encouraged to only head out for a quick exercise session or to make a trip to the supermarket. For desk-bound employees, they are instructed not to report to their offices and resume working at home.

4. Financial relief

It is projected that this outbreak can last for a year. During the face of uncertainty, many businesses are facing a threat to their financial stability. Sales and revenue are impacted, which can put them in a state of financial loss that can be difficult to recover from. They have to tap on available resources to help sustain their business and survive.

These resources include business loans that help provide fast cash to cover any business necessities such as salary and inventory purchase without affecting one’s personal finances. It will be your best shot at scaling past the hardships that will accompany this economic depression. At the same time, these quick cash loans tend to have lesser requirements so most businesses can qualify for them easily.

It may take some time to achieve financial stability. If you need an expert’s perspective, reach out to us at QuickLoan Pte Ltd as our financial advisors can help to recommend a suitable loan package for you based on your needs.

Looking for cash? Apply for a loan with QuickLoan Pte Ltd today! Call us to enquire at 6223 1788 or Apply online at www.quickloan.com.sg.

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