Going for Growth

The COVID-19 pandemic is exposing long-standing structural weaknesses in our economies and widening gaps in living standards among countries, regions and people. Just as the vaccine rollout gradually instils hope, the post-pandemic recovery creates new opportunities to set in place the foundations for a vibrant recovery. With continued macroeconomic support, policymakers can shape the recovery to boost growth, enhance resilience and inclusiveness, and improve environmental sustainability.

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COVID-19 exposed existing structural weaknesses in our economies such as gaps in coverage of social safety nets and digital divides, reinforcing inequality. It added new challenges such as increased risk of unemployment and bankruptcies, scarring effects on youth, and the aggravation of physical and mental health of the vulnerable. Many economies were struggling with sluggish productivity growth, lack of quality jobs and green transition costs already before COVID-19.

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Domestic policies are the key recovery strategies. But the pandemic highlighted also the need for stronger international co-operation in the areas of health care and the manufacturing and distribution of health care equipment and vaccines, tackling climate change, taxation of multinationals in the digital economy, and reducing trade barriers.

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