Across the world, each one of us has felt the negative impacts of the Covid-19 pandemic. From critical health issues to joblessness, our world is in an unprecedented economic crisis globally. While most of us felt all we could do was quarantine ourselves, we did not have the answers as to why our economy was failing so miserably.
Dr. Yasam Ayavefe, a successful businessman who analyzed the situation attempting to find solutions, knew the answers. We sat down with him to hear his perspectives on this pandemic’s impact on our earth.
Dr. Yasam Ayavefe on Lockdowns and Their Economic Effects
“Many governments put measures in place to halt this health catastrophe. Unfortunately, this resulted in a never-before-seen economic crisis. The limits impacted all areas of production, generating a global demand shock. As a result, supply and demand fell to record lows. As a result, momentum toward expansion has come to a halt. Many countries’ labor markets have deteriorated dramatically as a result of Covid-19. Countries have taken numerous measures and provided credit facilities to assist the public and assure credit availability. The administration has attempted to lower bank interest rates and has contacted central banks.”
Although many people were unclear about the ‘why’s and how’s of the economic crisis, we felt the crunch emotionally and physically. Dr. Ayavefe attempts to bring the puzzle together with depth and clarity.
It is difficult to fathom that this pandemic, with all its harmful components, still could not be measured as to the extent of economic devastation worldwide. But as Dr. Ayavefe explains, the lockdowns, labor shock, and impact on financial institutions were enough of a defined explanation.
Although the closures of schools and businesses were necessary to contain the spread of the virus, some countries showed a soft stance toward closures within the beginning stages of Covid-19, which resulted in widespread closure and heavily affected our economy.
How Do We Fix the Economy?
Now that we are all feeling the repercussions of a changing economy, we wanted to know Dr. Ayavefe’s perspective on solutions.
“Without doubt, the COVID-19 outbreak has heralded a new era of normalcy.” However, it immediately became clear that the economic effects would be massive and catastrophic. “A substantial amount of economic activity was quickly switched to the digital realm.”
“As a result, many company activities, from meetings to sales to payments, have moved into the digital sphere during the past two years as the IT sector has undergone rapid growth”.
Digital solutions, and their rapid implementation, were very promising answers. But of course, not fully understanding how this works to improve our economy, Dr. Ayavefe further explained.
“Businesses need to rethink their entire lifecycle, from client acquisition and operations through post-sale service and customer service. The term “digital transformation” is not new, but it has become more ubiquitous”.
We can say that digital transformation takes on a unique shape for each business. Digital technologies can build our economy back to normal and improve stability. Digital is much faster, and businesses rapidly realize they must embrace this innovation as a way to transform our economy, making the process not only faster when it comes to consumers but also building revenue.
Find out more about Dr. Ayavefe and his work here:
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