Philippine Retailing Magazine Q4 2020 (Digital Edition Only) - Page 6

4 RETAIL NEWS CAPSULE PHILIPPINE RETAILING

Global GDP could return to pre-pandemic levels as early as 2021 , says OECD

The OECD expects all G20 countries except China to fall into recession this year , with a swift but fragile recovery projected for 2021 .
As the following chart shows , the OECD expects global GDP to return to its pre-pandemic level by Q3 2021 , however , economic output is expected to remain below late-2019 levels in many countries , not to mention the levels projected before the pandemic hit .
The report also notes that uncertainty remains high and that the strength of the recovery depends on numerous variables , resulting in an upside and a downside scenario , also displayed in our chart .
“ Prospects for an inclusive , resilient and sustainable economic growth will depend on a range of factors ,” the report finds .
These include “ the likelihood of new outbreaks of the virus , how well individuals observe health measures and restrictions , consumer and business confidence , and the extent to which government support to maintain jobs and help businesses succeeds in boosting demand .”
All things considered , the OECD projects global GDP to fall by 4.5 percent this year before growing 5 percent in 2021 .
( World Economic Forum , 9 / 21 / 2020 )

Asia ' s wellness market set to be the world ' s Largest by 2023

The Global Wellness Institute ( GWI ) has advised that Asia ’ s physical activity market - currently worth US $ 240 billion - is the world ’ s growth leader and will overtake North America by 2023 . GWI ’ s Move to be Well : The Global Economy of Physical Activity report shows that Asia is accounting for 40 % of all global growth over the five years from 2018 and , despite the impact of COVID-19 , will emerge with stronger consumer value post-pandemic .
GWI estimated that recreational physical activities generated US $ 828.2 billion in private sector economic activity in 2018 , with 44 % ( US $ 367.7 billion ) representing direct consumer expenditures on activity participation ( fitness , sports and active recreation , and mindful movement ).
The remaining 56 % ( US $ 465.9 billion ) represents the enabling sectors ( apparel and footwear ; fitness equipment , sporting goods , and related supplies ; and fitness and exercise-related technologies ).
Importantly , a large portion of the global population , especially in less wealthy countries , participates in recreational physical activities without spending much money - for example , playing soccer ( football ) in an empty field , swimming in a public / community pool , running in the streets , or doing tai chi in a park .
Many of these free activities depend on publicly funded infrastructure such as local parks and recreational centres , but participation in these activities still generates significant private sector economic activities , such as athletic shoes and clothing purchases , government purchases of equipment for community gyms or parks , etc .
( Asian Leisure Biz , 10 / 15 / 2020 )
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