New York City’s Economic Recovery Is Years Away, Fiscal Watchdog Says

Independent Budget Office predicts Covid-19 pandemic with cost the city $11.3 billion in lost tax revenue through fiscal year 2023

When the coronavirus tore through industry, commerce and society in March 2020, the U.S. economy came to a screeching halt. Top executives relive the tough decisions they made as they scrambled to weather the storm. Photo Illustration: Adele Morgan/The Wall Street Journal

香蕉视频苹果下载The Covid-19 pandemic will cast a long shadow over New York City’s economic recovery, impacting employment levels, real-estate sales and tax revenue for years to come, according to the city’s fiscal watchdog.

香蕉视频苹果下载In a report released Wednesday, the Independent Budget Office predicted the city will collect $11.3 billion less in tax revenue through fiscal year 2023, compared with estimates the office compiled before the pandemic.

New York City was hard hit by the virus in the spring last year and is currently fighting a second wave. More than 25,000 residents are confirmed or believed to have died from Covid-19, according to data.

香蕉视频苹果下载During the  second quarter of 2020, nearly 878,000 jobs were lost in the city, the report says. About 20% of those jobs came back in the third quarter of 2020, according to the IBO. While jobs will slowly return in the next three years as more people are vaccinated and social-distancing measures ease, employment in the city will likely stay below 2019 levels, the report said.

香蕉视频苹果下载The city’s real-estate industry also continues to struggle, as many Manhattan offices remain empty because employees have been able to work remotely, the report says. Remote working and the desire for more space also prompted some New Yorkers to move to the suburbs and other parts of the country.

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