A dangerous moment for the world economy – Financial Times

World Economy

Countries that appeared to have halted the virus, such as Japan, are now having to deal with a second wave
Countries that appeared to have halted the virus, such as Japan, are now having to deal with a second wave © Eugene Hoshiko/AP

The world economy is in a dangerous place. Attempts to restart activity, premature or not, have led to a rise in coronavirus cases, particularly in Europe where the pandemic previously looked under control. Relief from a potential vaccine, if any works, seems months away. Meanwhile, central banks have little capacity to respond to a further downturn. Governments are already fretting about the debt they incurred by keeping economies in deep freeze through the outbreak’s first stage.