As New Zealand emerges from its COVID-19 lockdown, around the country business and community leaders are turning their thoughts to regional recovery.
We are now confronted by a deep global, national, and local recession, the sharpness of which is unprecedented. It will be a slow, persistent climb out of this recession, back to some sense of normality.
New Zealand is well used to regional crises. Since 2002 there have been 71 states of emergency declared due to natural events; four a year, on average with the associated economic, social and environmental impacts for the communities affected. Globally, there has been a trend for financial and economic shocks every decade or so. Supporting businesses to prepare for these shocks, to respond to them and to emerge stronger on the other side is a key challenge for every regional economic development agency in New Zealand.
Patterns emerging through the current COVID-19 crisis, in an economic sense are also new, variable, and complex with regions, sectors, communities and individual businesses all being affected differently. SMEs and certain sectors like tourism, retail, events and hospitality are disproportionately affected while others are under pressure in food supply and health response. Supply chains and international trade are affected, and around the world central banks are using quantitative easing and monetary policy to boost demand. Local businesses and communities are trying to understand and respond to the ongoing impacts of the crisis while also trying to maintain day-to-day operations.
Roadmap to recovery
Here in Hawke’s Bay conversations have begun on what our roadmap for recovery will be.
First published by The Profit – read the full article here.