The COVID-19 pandemic has spread all across the globe. However, the cases of the infected person in Africa are still lower as compared to other corners of the globe. By 11th April, the region has registered around 13,500 cases. South Africa registered the highest cases followed by Egypt, Algeria, and Morocco respectively. The WHO has advised the governments of the African countries to be prepared to tackle the pandemic if needed.
However, the negative impact of the COVID-19 has reached Africa, which in terms of lower demand. Similar to the global aviation industry, due to lower demands, most of the airlines have to ground their aircraft. Ethiopian Airlines, the largest airline of Africa has suspended its operation for 87 destinations due to which 80 of its aircraft are grounded. The airline has sent thousands of its employees on paid and unpaid leave from till 2nd July 2020.
Moreover, some countries in Africa earn considerable revenue by exporting crude oil to other countries globally. Nigeria is the largest crude oil producer and exporter in the region. It was the 13th largest crude oil producer all across the globe. It is followed by Angola with 14th and Algeria with 18th rank in 2019. Moreover, Nigeria was the 8th largest exporter of crude oil all across the globe, followed by Angola with 10th and Algeria with 17th rank in 2019.
Angola’s GDP is largely dependent on its oil exports and China is one of the major importers for Angola’s crude oil. After the COVId-19 outbreak, a significant decline in demand for crude oil was witnessed in China in the first quarter of 2020. Moreover, Angola was in recession in 2019 and its economy shrank by 0.3%. The International Monetary Fund was projecting a growth of 1.2% in 2020, which is now hard to achieve after the global pandemic.
