- ECONOMIC IMPACT -

Latest update: 03 March 

The global economy is forecasted to return to pre-crisis levels by the end of 2021 or early 2022. 

The IMF projects the Indian economy to grow by 11.5% in 2021, following an estimated 10.3% contraction in 2020.

5.5%

 The IMF projects global economic growth at 5.5% for 2021, which is an upward revision from the 5.2% rise estimated in October 2020.

6.1%

The unemployment rate among G7 nations increased marginally to 6.1% in December, as compared to 6% in November.

Impact of Covid-19 on equity indices

- SECTOR IMPACT: PHARMA -

Latest update: 09 March 

Vaccine development

33.5%

The UK leads the top economies in the percentage of population receiving one dose of a Covid-19 vaccine with 33.5% of the population having received their first dose. 

46.20%

Globally, with 46.20% of its citizens now vaccinated, Gibraltar has the largest percentage of its population to have received all required doses of the prescribed vaccine. 

Drug development pipelines

Developers with Covid-19 therapies and vaccines will benefit in the short-term, as intense investor interest will drive up stock prices and provide these companies with cash and resources to further pipeline development.


In Q1 2020 Bio/Pharma companies with a Covid-19 drug in the pipeline saw a smaller decrease in market cap than companies without a Covid-19 drug in the pipeline.


Difficulties with clinical trial execution and potential drug shortages could negatively impact all developers; however, pipeline companies focused on non-infectious therapies areas will suffer from the ability to raise the additional funds they need to survive.


In Q1 2020, Small cap Bio/Pharma companies without a Covid-19 drug saw the largest decrease in market cap.

Key pharma market developments

Payers

Currently, payers are experiencing pressure to reimburse ICU care and eventually this could expand to include potentially expensive and unproven drugs if there is a suggestion that they might be effective in treating Covid-19.


In addition, payer plans have evolved to include reimbursement of telemedicine as providers began to rely on this service during the pandemic. Reimbursement of telemedicine is likely here to stay.


Outsourcers

Contract manufacturing organisations and excess capacity contract manufacturers with secure supply lines will benefit from short term boost in generic drugs manufacturing needed to treat Covid-19 patients.


Outsourcing partners must deal with issues surrounding a potential excess of client needs upon initiation of future trials, with guidance from regulatory agencies still pending.


Drug development 

Vaccine candidates using classic technology will likely take at least 12-18 months to develop; however, timelines for DNA, mRNA or adenoviral vaccines are indeed shorter as multiple vaccines from Pfizer/BioNTech, Moderna and AstraZeneca now have demonstrated efficacy in prevention of Covid-19.

Share this article