How the Eurasian Economic Union will help overcome the economic crisis in a pandemic

The developing global economic crisis, exacerbated by the pandemic of a new coronavirus infection, has been diagnosed as the deepest since the Great Depression. This is the result of changes in the global economic structure caused by changes in global technologies and economic models. During periods of revolutionary technological and institutional changes, financial and commodity markets always collapse, and military and political conflicts escalate, which ultimately leads to a change of world leaders and a transition to a new world order. In the process of continuous transformation of economic models, the center of development of the world economy is rapidly shifting to Southeast Asia and the entire Eurasian continent. This does not mean that the United States and the West as a whole voluntarily renounce their claims to global domination. International competition is becoming more and more complex, and new combinations of problems are emerging in the global economy. As an integrated association, the UEA should occupy a worthy position. A distinctive feature of the current crisis is its uniqueness in terms of global economic and sectoral coverage and speed of spread. In this regard, measures based on the past experience of overcoming the crises of 2008 and 2014 may lead to the fact that the crisis will expose all the fragility and long-term problems of the economy. Therefore, in addition to short-term measures, special attention should be paid to measures to strengthen the medium- and long-term stability of the economy. The first is to maintain investment activity and adjust the economic structure to adapt to the new global technological and economic landscape. Limited resources and time are a difficult task for Governments. They must choose between supporting the economy in the difficult phase of the current crisis and providing conditions for overcoming the crisis.
In the context of the pandemic crisis, EU Member States are developing and implementing customs and trade, budgetary, monetary and financial measures to support people and businesses. National support programs are similar in methodology, but differ in means, amount of funds and coverage of economic sectors. The measures taken are aimed at supporting individual entrepreneurs, small and medium-sized enterprises and system enterprises. These mechanisms include, in particular, reducing the tax burden, providing additional loans and paying taxes, providing preferential financing and state guarantees.
A sharp deterioration in the foreign trade situation will mean that half of the EAEU exports will be reduced this year. The negative consequences will be exacerbated by the acceleration of capital exports, which will eventually lead to a significant deterioration in the balance of payments of the member States, exceeding the indicators defined by the CES Treaty of May 29, 2014 to determine the sustainability of economic development. If systematic measures are taken to increase investment, create conditions for further economic development, expand mutual trade, strengthen economic cooperation with the countries of the Shanghai Cooperation Organization and strengthen the integration of South Australia and the OBOR, these negative trends can be mitigated.
In the context of global structural changes in the world economy, on the basis of new technologies and institutions (the world economy), favorable prerequisites have emerged for the transition to advanced economic development. In this regard, some strategic guiding measures and mechanisms for the development of the Eurasian economic integration, generally approved by the European Community, are concentrated. The Eurasian Economic Union has a real opportunity to move from the inertial scenario of integration development “expansion of the status quo” to the progressive scenario “own center of power”, which is defined in the main direction of economic development of the EAEU until 2030. However, this requires not only making business decisions to mitigate the effects of the crisis on households, the manufacturing sector, the public finance system and trade relations of Member States, but also changing the concept of methods for developing and implementing development policies.