If a country in 2009, in its economic sense, is likened to an aircraft carrier arduously sailing forward in the global financial storm, then a company is like a warplane on board and every citizen is like a sailor. Over the past year, every "sailor," "warplane" and "aircraft carrier" across the world have been breaking their necks to pull out of the financial crisis, the worst since World War II, and now the sun seemingly is on the horizon despite some lingering clouds.
Since March 2009, the U.S. financial sector has been on the mend. However, credit conditions remain tight while financial institutions are still in the stage of de-leveraging and cleansing of their balance-sheets. Supported by a wide spectrum of policy measures of massive scales, stabilization has gradually shown in various parts of the financial markets.
The U.S. Senate has approved a comprehensive healthcare reform bill. Compared to an earlier bill authorized by the House of Representatives, the one passed by the Senate features different approaches on taxes, abortion and insurance. The latest approval gives President Barack Obama a major victory in the central issue of his domestic policy, but still, Democratic and Republican negotiators face a tough task ahead to combine the two bills into one.
The U.S. government will extend the financial bailout program until October 2010, Treasury Secretary Timothy Geithner said Wednesday. Geithner said in a letter to Congress that the extension was "necessary to assist American families and stabilize financial markets."
The A/H1N1 flu outbreak and the world financial crisis battered Mexico´s economy in 2009, but there are indications of a recovery in 2010 thanks to a rebound forecast for Mexico´s main trading partner, the United States.
The outgoing 2009 proved a very tough year for the European Union (EU). The worst financial turmoil in decades has plunged the combined economy of the 27-nation bloc to its bottom. While a precarious rebound is underway, the next year would be a crucial test for the EU to manage all risks and sustain the economic recovery
Eastern and Central Europe, the high-speed economic locomotive in Europe and in emerging markets, was forced to take a brake in the past year due to the global economic downturn. Most of the countries in the region suffered a sharp decline in gross domestic product (GDP), and took on huge fiscal deficits and high unemployment rates. A Chinese analyst says the regional economy stumbled forward in a slow way in 2009.
Ukraine´s economy suffered much from the global financial crisis throughout 2009, including high inflation, an unstable exchange rate and a sharp decline in GDP and foreign trade. Analysts say the eastern European country would not approach recovery until the second quarter of next year.
Russian President Dmitry Medvedev said on Thursday that Russia has survived the global economic crisis at "a relatively low price." Summing up the outgoing year in a live broadcast on state television, Medvedev said this year was extremely difficult and many dramatic events had occurred. "We have survived and are continuing to develop. In my opinion, we have paid a relatively low price for the international financial and economic crisis," he said. He predicted that the Russian economy would expand 2.5-5 percent next year.
Italy´s economy in 2009 has not been heavily damaged by the global downturn but still faces uncertain recovery in the absence of structural reforms. The limited international exposure of the country´s financial system has avoided a direct impact from the global crisis. Moreover, there were no bank defaults, and the center-right government of Prime Minister Silvio Berlusconi avoided giving in to bail-outs or stimulus packages.
Developing Asian economies are leading the global recovery from the worst recession since the WWII thanks to swift government response that allowed the region to keep most of its hard-won economic gains. Multilateral lenders have upgraded their growth forecast for the region, impressed by its resiliency amid the meltdown. In its report issued Dec., the Asian Dev´t Bank raised its GDP forecast for this year to 4.5%, up from the September forecast of 3.9%.
Japan´s government has unveiled 81 billion US dollars in new stimulus spending. The aim is to keep the world´s second-largest economy from lurching back into recession. The new deal is Prime Minister Yukio Hatoyama´s first major policy move since his Democratic Party swept into power this summer. They promised help for workers and families. Since then, the country´s economic turnaround has come under threat from intensifying deflation and a powerful yen.
"Dreams are not limited. You should keep on moving." The well-known quote from the Emir of Dubai Sheikh Mohammed, posted on Dubai´s Sheikh Zayed Road, has inspired people and nations worldwide to dream big and realize their dreams. But a dream built on bubbles is doomed to burst, sooner or later, as has happened in Dubai.