Just like the other countries in the Eurozone, Belgium will have to face negative GDP growth in the Q4 2020 following re-confinement. However, our country will be harder hit than the rest of the Eurozone, according to forecasts by Euler Hermes (Allianz), world leader in trade credit insurance. The expected negative growth of the Belgian GDP in the last quarter of the year will be -7.5%, compared with -4.1% for the Eurozone as a whole.
Belgium is not only one of the countries hardest hit by the second sanitary wave of Covid-19. The economic impact will also be very hard. Several factors explain this: the duration of the confinement (6 weeks) and the nature of the measures taken, which are more drastic than in other countries. According to Euler Hermes, nearly 40% of Belgian household spending is sensitive to Covid-19 restrictions and 70% of GDP will be impacted by this lockdown.
Ed Goos, Euler Hermes BeLux CEO: