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Vaccination roll-out programs ‘pulses of positivity’

January 29, 2021 2:13 pm
The recovery trajectory for 2021 seems slightly better than expected says Reserve Bank Governor, Ariff Ali. [File Photo]

The recovery trajectory for 2021 seems slightly better than expected says Reserve Bank Governor, Ariff Ali.

Ali says this is due to the COVID-19 vaccination programmes in several countries around the world.

While most sectors together with consumption and investment activities registered double-digit contractions in 2020, this was mitigated by early containment of infections locally and of financial assistance to affected individuals and households.

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He adds the return of economic activity to pre-pandemic levels will be long and uncertain given the extended closure of international borders.

However, the recent vaccine rollouts in major tourism source markets of Australia and New Zealand, are pulses of positivity.

Based on vaccination and the possible international travel in the second half of the year, the economy is anticipated to register positive growth in 2021.

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