THE IMPACT OF THE GLOBAL PANDEMIC ON THE WORLD AND DOMESTIC ECONOMY

Abstract

The article analyzes the state of the world's largest economies and the economy of Ukraine in the context of the COVID-19 pandemic. The main directions of influence of the coronavirus pandemic on modern economic processes are established. It is revealed that the crisis phenomena of recent years in the world economy are reflected in: the decline of most indices of world stock exchanges; reducing the cost of oil and metallurgical products; reduction of industrial production; significant reduction of companies' revenues in the areas of air transportation, maritime transport, trade and entertainment, tourism; reduction of household incomes; increasing the profits of companies in the field of online services (games, education, etc.); increasing investor demand for low-risk assets. Experts predict a significant reduction in global economic growth by the end of 2025, and global economic losses are likely to reach $ 5 trillion. The crisis caused by the COVID-19 pandemic could severely undermine the economic condition of our country. Employment and real GDP growth may decline, and the business sector may suffer large losses. There are threats of further devaluation of the Ukrainian currency. During 2020, Ukraine's economy shrank by 7.2%, and from 2021 to 2025 is expected to grow annually at 3-4%. Such data indicate the need for a balanced policy on the part of the government and local governments; their decision-making, which not only takes into account the effect of quarantine, but also aimed at forming an innovative, competitive and socially oriented economy. Further research on the processes of post-pandemic recovery should be aimed at studying the social and economic consequences of quarantine, ways to minimize the negative effects of the pandemic, finding new mechanisms for organizing social processes and stabilizing the economy in quarantine.