COVID 19 in Brazil : Impacts and Policy Responses
The COVID-19 (Coronavirus) pandemic is exposing Brazil to an unprecedented challenge. The pandemic is expected to plunge Brazil into another recession. Although the pain of recession can be felt across the economy, smaller firms are expected to be...
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| Format: | Policy Note |
| Language: | English |
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World Bank, Washington, DC
2020
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| Online Access: | http://documents.worldbank.org/curated/en/152381594359001244/Main-Report http://hdl.handle.net/10986/34223 |
| Summary: | The COVID-19 (Coronavirus) pandemic is
exposing Brazil to an unprecedented challenge. The pandemic
is expected to plunge Brazil into another recession.
Although the pain of recession can be felt across the
economy, smaller firms are expected to be more affected
because they tend to be more present in sectors with high
face-to-face interactions, and where home-based work is less
pervasive. State (and municipal) governments constitute a
third group that is highly exposed to the crisis. Special
attention will need to be devoted to the infrastructure
sector, including energy, water, and transport, due to their
strategic nature in the economy and potential contingent
liabilities for the government. The financial sector was in
a position of strength when the COVID-19 crisis started, and
it will play a critical role during both the crisis and the
recovery phase. Brazil has already put in place significant
measures to address the economic crisis. Beyond the
immediate containment of the crisis, Brazil will need to
focus on laying the groundwork for a speedy and equitable recovery. |
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