The only part of the index showing an unprecedented collapse due to Covid-19 is people flows. The index measures globalization based on more than 3.5 million data points on trade, capital, information, and people flows.
The Covid-19 pandemic is not likely to send the world’s level of globalization below where it stood during the 2008-09 global financial crisis (the worst setback for international trade and capital flows in decades), according to the 2020 edition of the DHL Global Connectedness Index, which we released in December. Global business is not going away, but the landscape is shifting, with important implications for strategy and management.
As we move into 2021, the latest data paint a clearer - and more hopeful - picture. Cross-border flows plummeted in 2020 as the Covid-19 pandemic swept the world, reinforcing doubts about the future of globalization.
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