The COVID-19 epidemic continues to be a major factor affecting the global economy. Although companies continue to operate in the face of the uncertainty associated with the development of the epidemic situation, they are coping better and better – adapting to the emerging changes. Already in the second half of 2020, the market’s resistance to the consequences of the epidemic increased. At the same time, the number of cases in the second and third waves was much higher than in the first, the restrictions were 25-50% less severe for the economy than in the spring. According to experts, a return to normal life can be expected in the near future.
In most of the countries that affect the global economy in industries such as industry, trade, and services, businesses are increasingly coping with the constraints caused by the coronavirus epidemic. While the impact of COVID-19 on sales has been negative, entrepreneurs say the situation has improved. The current dynamics of changes in the volume of sales in the market due to the latest restrictions remains in question. However, the tightening of restrictions is no longer news to anyone – entrepreneurs have learned how to conduct business in new conditions.
A year after the start of the epidemic, entrepreneurs are mildly optimistic, and the financial health of their companies is not the worst. In the first quarter of 2021, out of 500 surveyed companies in the world, almost half (47%) said that the current financial position of their business is stable, 35% said that the company is in good condition, and less than 15% said that things are bad. Not all industries have been hit by the epidemic equally. Trade has suffered relatively least compared to other sectors of the economy.
Strong exports and private consumption in any country will have a positive impact on the GDP recovery, which is likely to be seen from mid-2021. Economists point out that both indicators should gradually return to the 2018 level. Positive trends in foreign trade are expected to continue, as well as an acceptable balance of payments.
The level of consumption will strongly depend on the epidemic situation in the country. Consumption in the first quarter of 2021 remains limited, in particular in terms of services, due to the current restrictions. However, probably already in the second and third quarters, recovery and spending on goods should remain in an upward trend until the end of the year. Economists predict that a lot of this will be due to vaccinations. However, we can expect a sharp economic growth in private consumption only from 2022.
When the planet enters a stabilization period due to COVID-19, entrepreneurs will likely be able to slowly prepare for a market recovery and thus return to planning their businesses and possible new investments.
Impact on online gambling
The coronavirus pandemic has completely turned the world upside down. The gambling sector, which has gone through a severe crisis in several months of quarantine, has also suffered huge losses. First of all, stationary casinos suffered losses. Most of them around the world have been forced to quarantine.
On the other hand, the previously lucrative bookmaker business suffered. The reason is the termination of the competition in most countries.
Several months of quarantine resulted in huge losses in the economy. The state budget has suffered greatly, in particular due to a significant shortfall in the tax on gambling.
The bookmaker is the biggest loser
If we analyze only the gambling sector, then, undoubtedly, the largest losses were recorded in the area of rates. For about a few months, the sport was completely frozen. Companies offering bookmaker services simply could not find a decent alternative, and the sites were completely empty. Tipsters had nothing to bet on, and the only solution was to develop esports and virtual games, which during the pandemic broke records of popularity among bookmakers like never before. However, this did not save the bookmakers from very serious losses. It is already known that the tax on bookmakers in all countries was much lower than in the previous reporting year. According to the information provided, gambling recorded a significant loss of budget revenues, they decreased by 20-30 percent in the first months of 2021.
Online casino profit
Online casino Australia was the winner during the time of the pandemic.
Why did it happen:
- During a pandemic, it is recommended not to leave your home and spend as much time at home as possible.
- Due to internal isolation, customers were eager to use the services of a legal online casino, especially in the first weeks of the coronavirus wave.
- Users who wanted to get emotions could not use bookmakers, so they found entertainment in online gambling.
- On average, Australian casinos paid 22% more taxes than all other gambling sectors.
- Online poker is experiencing unprecedented growth in popularity. Many of the poker tournaments held in land-based casinos have been moved to the Internet. For example, the World Series of Poker in Las Vegas. This unofficial World Championship of Poker draws crowds of poker players from all over the world to the United States every year. Players received nearly $150 million in prizes.
Most of the budgets of different countries, while not receiving a penny from this entertainment. In many countries, online casinos are in a gray area.
Despite the fact that the pandemic is spreading all the time, people are gradually beginning to live normal lives and adapt to the current state of affairs. The gambling sector has suffered severe losses caused by the coronavirus but is recovering month after month and will soon be back on its feet. The bookmaker industry has had many opportunities to fill out their offers for several months now. Online casinos are trying to gain a foothold in the positions they have achieved by offering users a seductive gaming environment. The world economy is emerging from the recession, and forecasts of the world’s leading experts are optimistic.