The global COVID-19 pandemic has had a significant economic impact on many countries, especially developing countries. In this context, more than just numbers, the impact covers various aspects including health, social and economic. First, the health sector of developing countries is experiencing extraordinary pressure. With limited health infrastructure, these countries are struggling to handle the surge in COVID-19 cases, resulting in larger budget allocations for the health sector. For example, health systems in countries such as Kenya and Bangladesh have had to shift from endemic disease control strategies to pandemic crisis management, resulting in many existing health programs being neglected. Second, the formal and informal economic sectors were also hit. Many workers in developing countries operate in the informal sector, and with the implementation of lockdowns, they have drastically lost their income. The Food and Agriculture Organization (FAO) estimates that millions of small farmers in Asia and Africa have seen their income fall by up to 50%. This increases the burden of poverty and widens social disparities between communities. International trade has also been hampered, with border closures and supply chain disruptions. Exports of several developing countries, especially in the agricultural and commodity sectors, experienced a significant decline. For example, exports of coffee from Ethiopia and cocoa from Ghana were affected, resulting in lost income opportunities for millions of small farmers. The impact is also visible in foreign investment. Investors tend to be more careful during this period of uncertainty, so many development projects have stopped or been postponed. Infrastructure projects that should support long-term economic growth are now at risk of not being completed, adding to the challenges for sustainable development. The education sector was also not spared from the impact. With prolonged school closures, children in developing countries face learning loss. Data shows that students in countries like India and Indonesia lose almost a year of education. This not only affects their readiness to enter the world of work, but also their long-term economic prospects. In response, some countries are turning to digital solutions to speed recovery. Digitalization of trade, education and health services is the main focus. For example, the use of online platforms for distance learning and e-commerce has increased rapidly. However, the digital divide remains an obstacle, with many people in developing countries not having adequate internet access. Overall, the economic impact of the global pandemic on developing countries is multi-faceted and will take time to recover. Any steps taken towards recovery must consider a variety of factors to create long-term resilience. Creating policies that are inclusive and involve various stakeholders is the key to achieving a sustainable and just recovery.
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