Week in Review: Trumping the Odds, Taking Chances

Trumping the Odds?

Everything about US President Donald Trump's response to the coronavirus pandemic suggests that he is particularly concerned about how it will affect his chances of re-election come next November. Given his poor handling of the crisis so far, it seems that whether he avoids being dealt a fatal blow by the pandemic will be down more to luck than his skilful footwork.

Yet at the other end of the world, in South-East Europe, the question of whether COVID-19 - or indeed something else - deals a fatal blow to Trump's re-election prospects is also being closely watched. Whether the current US President is re-elected or not will significantly determine whether the US keeps pursuing 'quick-fix' solutions to the region's problems or not.

Read more: Trump's Political Survival Will Shape the Western Balkans (April 23, 2020)

Burden Sharing

North macedonia's Central Bank in Skopje. Photo: Dimitris Vetsikas, Pixabay

Having scrambled to treat patients, save lives and prevent the spread of COVID-19, governments across the region then moved to rolling out financial measures to save the economy and alleviate financial pressure on households. But getting these measures right is tricky business.

North Macedonia is a case in point. The Government and Central Bank have allowed citizens to freeze repayment of loans to banks for six months, a move that proved extremely popular and much needed. But there was uproar when it was revealed that monthly interest rates would not be frozen. Banks warned that, while they could absorb a repayment freeze, there were limits on how much strain could be imposed on banks, just as with citizens, particularly amidst uncertainty over how long the coronavirus pandemic would last.