CHINA'S GROWTH AND POST-APOCALYPSE: SAXO BANK OUTRAGEOUS PREDICTIONS FOR 2021

Saxo Bank, which has been playing a role of the future events fortuneteller for several years now, has released another list of predictions for the next year. Obviously, this time, most of the predictions were related to the ongoing COVID-19 pandemic.

According to the logic of Saxo Bank analysts, it was the spread of coronavirus infection that became the basis for the global growth of debt obligations. As a result, many government bonds and long-term securities of large corporations were at their lowest levels in history.

At the same time, the expected introduction of a vaccine against the virus and the possibility of universal vaccination only increase the already high risks, - notes the bank in its publication.

What will this vaccination bring with it? According to soothsayers from Saxo Bank, it might cause the collapse of companies overloaded that were overloaded with debt obligations during the pandemic. The situation for offline retail companies can be particularly challenging.

In recent years, even before the onset of the coronavirus crisis, many realtors have already started feeling difficulties in their work and serious competition from online platforms. In the future, the situation can only get worse.

Saxo Bank's forecast for the living environment of a significant part of humanity resembles the post-apocalyptic genre: empty cities, falling real estate prices and criminalization of urban infrastructure.

Employees who have switched to remote work will prefer to live in rural areas, where the chance of contracting an infection is much less. The fall in demand in the labor market leads to mass layoffs, and the population moving out of town leaves apartments, increasing the volume of proposals in the real estate market.

Saxo Bank has not spared questions related to the online giants of the global market, digital currencies and blockchain technologies. The assumption of the transfer of the Amazon head office address from the United States to Cyprus is unlikely, but the threat of sanctions for the company from European regulators may become a reality, states the bank.

The digital yuan will allow many in the world to get rid of cash, ensuring financial inclusion, and will allow China to offer the world a new reserve currency.

This will accelerate the growth of domestic consumption in China itself, increasing funding for its pension system.

It is enough to imagine a world, where fake technologies are completely eradicated (by monitoring digital content and blockchain), routine processes are automated carried out by robots, and people work only because of their interest, but not because of the necessity (by introducing an unconditional basic income), and then one can approach the description, presented in the forecast of the Danes.

The financial platform for this can be the technology of using thermonuclear energy, which eliminates the problem of water and food shortages even for developing countries. So now, judging by the content of the forecasts, the humanity just need to survive in order to assess at the end of 2021 to what extent the forecast of Saxo Bank was realistic.