Financial and business news from Bulgaria

$320 billion in losses to coronavirus in 3 months

The $320bn in losses for the first quarter of the year will bear global trade because of the coronavirus. This is predicted by the experts of Euler Hermes - a global commercial credit insurance company. The decline is 2.5% compared to the same period last year. $161 billion less will be realised by exports of goods, with the main part due to falling demand in China, Italy and other European countries. $125 billion will be the hit for tourism and for transport - 33 billion.
According to analysts, the losses for only quarter will be commensurate with those for the entire 2019 of the trade war between the United States and China. Euler Hermes expect normalization after April, but also for the second quarter there will be a 1% year-on-year decline in global trade.

The economic effects can also be felt in Bulgaria, predicted by Euler Hermes. The most affected would be tourism, information technology, electronics, auto parts production and transport. The advice to Bulgarian companies is to be careful when concluding deals with partners from China, Taiwan, South Korea and Italy