CHRIS GILMOUR: Debt weighs on developing world as optimism over recovery grows elsewhere
Consumer spending and boom in commodity prices could reprise Roaring Twenties
Amid all the doom and gloom surrounding the Sars-CoV-2 virus pandemic, there are reasons to be optimistic that the world is well on its way to exiting its worst aspects and that strong economic growth is in prospect over the next few years.
This recovery is likely to be patchy, and will be predicated on an initial surge in consumer spending as lockdown restrictions are lifted and removed entirely. In the longer term it should be due to a boom in commodity prices accompanying a global commitment to infrastructure development. However, much of this optimism will be contained in the developed world, as the developing world, hobbled with unsustainable debt levels, struggles to even pay its interest bills. ..
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