Categories: HealthNews

Coronavirus To Cause Permanent Changes In South Korea Economy, Business Environment

SEOUL, June 29  — The new coronavirus pandemic will likely have a lasting effect on various ways of life, such as where and how people shop, possibly leading to permanent changes in the global economy and trade, a South Korean central bank report suggested Monday.

Some of the changes maybe for the better for some countries, but some may be for the worse for others, Yonhap news agency quoting the central bank as saying.

“The COVID-19 pandemic may not stop at causing an economic slump globally but is highly likely to cause changes in the behavior of economic agents,” the Bank of Korea (BOK) said in its report.

For instance, households will likely become more risk-averse as they face immediate threats to their own safety and livelihoods, while businesses are expected to place increased emphasis on stability and flexibility as they face unexpected production disruptions, it noted.

“With an increased need for households and businesses to expand contact-free activities, the shift to a digitalized economy will likely be accelerated, while the move toward de-globalization may also be enhanced, along with enhanced trade protectionism,” the report said.

Such changes, however, will vary in different countries, depending on how each country deals with them.

“For instance, accelerated digitalization may have a positive impact on productivity in some countries, but in other countries, it may be highlighted for a reduction in labor input,” the BOK said.

“Uncertainties over the speed of such changes, as well as their directions, still remain high, but even if the economy breaks away from the impact of the coronavirus-caused crisis, it will be difficult to expect the behaviors of households, companies and the government to return to the pre-pandemic stage,” it added.

Sources: BERNAMA

Adib Mohd

Recent Posts

The First 72 Hours After a Stroke, Crucial for Recovery and Saving Lives

Did you know that you could lose approximately 1.9 million neurons after a stroke hit?… Read More

7 hours ago

Huawei ICT Academy Will Level Up Your Digital Mastery

Huawei Technologies (Malaysia) Sdn Bhd (Huawei Malaysia) and Universiti Teknologi MARA (UiTM) Johor are collaborating… Read More

7 hours ago

Malaysia Faces Rising Dementia Care Burden as Families Struggle Alone

Malaysia Faces Rising Dementia Care Burden as Families Struggle Alone Malaysia’s rapidly aging population is… Read More

14 hours ago

From Oval Office to Silver Screen: Trump Cameo Legacy You Can Never Recreate

From Oval Office to Silver Screen: Trump Cameo Legacy You Can Never Recreate Imagine you… Read More

14 hours ago

Step In, Stand Out, Converse Introduces Malaysia’s All Star Class of 2026

Are you ready to meet your new classmates? Converse Malaysia will bring you into a… Read More

1 day ago

IKEA Malaysia Crowns Three Ultimate Cook-Off Champions

The heat was on and creativity was unleashed. On 4 and 5 October 2025, over… Read More

1 day ago

This website uses cookies.