Already in ICU, Europe awaits major crisis once coronavirus ends

Europe, the continent that is already in a financial crisis, is now under life support because of novel coronavirus with 305,851 cases, including 18,289 deaths.

Major industries, especially tourism have come to a halt. Experts fear that the real pain would begin once the outbreak ends. Take a look at this report.

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The European Union is already a divided group, with the member countries rarely agreeing on major issues. And the EU is failing to prevent an economic collapse, with most of the members suffering from the crisis.

Yesterday, the leaders held a video conference and the finance ministers decided to meet after two weeks. Now, imagine, what could happen in two weeks when Italy today witnessed nearly 1,000 deaths.

Hospitals are overcrowded, morgues are full. There is no place to respectfully bury a body but self-interest becomes most important.

The European Central Bank came to the rescue with a fund worth 750 billion euros, but it was set aside. This could have a major consequence on Italy and Spain, who are severely hit by the outbreak.

If we look at the tourism sector, the European economy thrives on it.

However, the pandemic could keep tourists away from the continent for the rest of the year, leading to losses of nearly 12 billion euros. Italy alone could lose 7.4 billion euros from March to May.

The crisis has also hit the auto industry. Major factories were shut as critical imports couldn't be received from China.

Factories shut down to control the spread also added insult to the injury.

The automakers were already suffering from weak global demand and tough emission compliances.

The auto industry is at the heart of Europe's manufacturing sector, employing almost 14 million people.

The consulting sector, one of the most prosperous industry, was also badly hit by the COVID-19 outbreak.

After earning a record revenue of 45 billion dollars last year, nearly one-third of the total, losses worth 30 billion dollars could be seen by the end of 2020.

A 37 billion euros emergency fund was announced by the EU to support the industries majorly hit, but the associations argue that the compensation is not sufficient.

The situation looks grim in Europe and any recovery could take years.