Question

In late February 2020, Kuwait government took some early initiatives to control the Coronavirus pandemic. For Kuwait, the pandemic is considered to be a Double-Edged Sword, as the lower demand for oil has reduce the nation’s income and has paralyzed the domestic economic activities. Despite government support, many companies continue to lay off workers, which may lead to further reduction of national income.

1. Discuss the different types of unemployment that are likely to be affected by this pandemic in Kuwait.

Answer 1

Answer: This Pandemic Covid -19 has hit every nation very badly same goes with the Kuwait as well.Though country took several measures to stop pandemic yet it has hit it withdouble edged sword.As due to almost shutting of economic activities all over the world Oil price went down too much and firms started to layoff workers as they were themselves facing losses hence hitting economic growth of country to the new bottom.

There are various types of unemployment problems that will affect the Kuwait due to Pandemic, These are:

1.Oil Industry related business: As the gulf countries are largely dependent on this sector and this sector including firms, employees all are facing huge loss hence unemployment in this is very likely.

2.Tourism Industry: Kuwait is beautiful destination as well for tourists, ane this business and associated workers will face a great unemployment problem,as due to pandemic tourism will be less.

3. Construction sector: Almost 45% of related firms in this business has seen almost 80% dip in there revenue hence this will lead to further unemployment.

Others sector will also be hit by aftereffects of these sectors.Henece government is acquiring various initiatives to make the businesses back to there regular routine.

Hopefully it helps.