Sovereign Outlook 2022: How Will the Omicron Variant Impact Economic Recovery?

As 2022 begins, economic uncertainty surrounding the COVID-19 pandemic still remains though North America's recovery has been robust. The U.S. leads other major advanced economies in terms of returning output to potential. The Canadian economy has not recovered as quickly in real terms, but rising commodity prices have lifted Canada’s terms of trade to its highest level since 2014. Despite this, the pandemic is still putting significant pressure on sovereigns around the globe, and the Omicron variant will delay full recovery in many countries. While governments take different measures in response to an increase of cases, the effects on economies are still variable. Join Nichola James and Thomas Torgerson, Co-Head of Sovereign Ratings at DBRS Morningstar for a discussion on how the pandemic continues to shape the recovery, and how countries are adjusting and adapting in light of the new variant.