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Potential Economic Impacts of the COVID-19 Pandemic on South Asian Economies: A Review

Author

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  • Md. Monirul Islam

    (Department of Agricultural Economics, Bangladesh Agricultural University, Mymensingh 2202, Bangladesh
    Graduate School of Life and Environmental Sciences, University of Tsukuba, Tsukuba 305-8572, Japan)

  • Arifa Jannat

    (Graduate School of Life and Environmental Sciences, University of Tsukuba, Tsukuba 305-8572, Japan
    Institute of Agribusiness and Development Studies, Bangladesh Agricultural University, Mymensingh 2202, Bangladesh)

  • Dewan Abdullah Al Rafi

    (Department of Agricultural Economics, Bangladesh Agricultural University, Mymensingh 2202, Bangladesh)

  • Kentaka Aruga

    (Graduate School of Humanities and Social Sciences, Saitama University, 255 Shimo-Okubo, Sakura-ku, Saitama 338-8570, Japan)

Abstract

The present research analyzes the potential economic impact of the COVID-19 pandemic on South Asian economies using a systematic review approach. The cause-effect relationship framework showed that the outbreak of COVID-19 slowed down the gross domestic product (GDP) along with major economic sectors and indicators in the South Asian economies. The short and long-run predicted scenario showed that, compared to the agriculture sector, the service and manufacturing sectors will be affected more seriously in all South Asian countries. It was found that governments in the region are trying their best to adopt and implement expansionary fiscal strategies to combat this situation. Many countries have included farmers and allied workers in the government’s support system to utilize resources. In order to maintain the balance of international trade, the import and export of essential items must be given special support. To cope with this situation, governments can invest money from different autonomous institutions to expand Micro, Small, and Medium Enterprises (MSME). The findings of this research will be helpful for policy planners to formulate appropriate programs for short and long-run demands, along with economic and fiscal policies to sustain and revive the economic activity in South Asia.

Suggested Citation

  • Md. Monirul Islam & Arifa Jannat & Dewan Abdullah Al Rafi & Kentaka Aruga, 2020. "Potential Economic Impacts of the COVID-19 Pandemic on South Asian Economies: A Review," World, MDPI, vol. 1(3), pages 1-17, December.
    • Handle: RePEc:gam:jworld:v:1:y:2020:i:3:p:20-299:d:455799
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    References listed on IDEAS

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