Philly Fed chief: Delaware faces uneven recovery
From Delaware Business Times
PHILADELPHIA – The head of the Federal Reserve Bank of Philadelphia told Delaware business leaders Tuesday morning that he expects the state’s banking and finance sectors to weather the coronavirus pandemic while manufacturing will “bounce back” as it subsides. But he also said traffic at the Port of Wilmington and the state’s tourism-dependent beaches may be in for a tough year.
Patrick T. Harker, president and CEO of the Federal Reserve Bank of Philadelphia and the former president of the University of Delaware, outlined an uneven economic recovery for the First State, where New Castle County will likely endure better than Kent and Sussex counties.
Delaware’s travel and hospitality sector – an area where the southern counties are particularly dependent — may face “a longer and more painful contraction,” Harker said in a conference call with the Delaware State Chamber of Commerce. That would be spurred by businesses reducing corporate travel amid the increasing use of teleconferencing software, like Zoom or Skype, and the hesitance of many families to visit crowded places such as Delaware’s public beaches.
“There will be demand. People will still, understandably, have cabin fever and they’ll want to get out on some sort of vacation, but they may take small steps before getting on an airplane or trying to go long distances,” he said.