With the Covid-19 pandemic continuing to cast a shadow over the global economy, G20 companies are taking increasingly strenuous measures to service their debts and meet their financial obligations
And whilst there are firm indications that economies are entering an initial recovery growth phase, a potential perfect storm of stress events looms on the horizon – one that will require a longer-term preparedness and resilience to navigate.
Our data indicates that despite the widespread rollout of vaccines across most G20 nations, the impact of the pandemic continues to be significant, with 58% of companies having experienced a reduction in turnover since the start of the pandemic.
As economies begin to open again, there are some initial signs of growth recovery. In comparison to Q4 2020, a higher proportion of companies say they are growing (35% today vs 27% Q4 2020) and fewer say they are in distress (12% today vs 16% Q4 2020).
These indications of a resurgence of growth may, however, be deceptive, and do not indicate that G20 companies are out of the woods yet.