Well, the Global GDP is now bound to get slow and more
importantly the cost of things will start increasing. This coronavirus is not
an epidemic but a pandemic. The disease is multiplying faster as per the data.
Trade and business both are going to be impacted and this will pull down the
Global GDP in this quarter. The problem is more critical for those countries
where the infrastructure facility is poor. This is a major grey area which
needs attention for providing the facility. Travel is already getting banned
and all mode of travel communication are closed for the time being as the speed
of the disease takes its speed. The spread of the disease is so strong that
China has advised that the bodies of those who have died from the coronavirus
should be cremated immediately and that there should be no funerals.
Food inflation is another trigger which will
simultaneously be going to chase the global economy creating disruption
particularly for the developing economies and poor ones.
The spread of the disease is much faster and creating an
immense impact on human life. The disease has now spread in many countries.
Below is the list of the countries which are impacted till now with the number
of candidates infected in every country:
1. Australia - 12
2. Cambodia - 1
3. Canada - 4
4. Finland - 1
5. France - 6
6. Germany - 8
7. India - 2
8. Italy - 2
9. Japan - 20
10. Malaysia - 8
11. Nepal - 1
12. The Philippines - 2
13. Singapore - 18
14. South Korea - 15
15. Spain - 1
16. Sweden - 1
17. Taiwan - 10
18. Thailand - 19
19. United Arab Emirates - 5
20. United Kingdom - 2
21. United States - 11
22. Vietnam - 8
In China, at least 361 people have died, the government
said on Monday. At least 17,205 people have been infected across the country.
The U.S. declared a public health emergency. The pandemic concept is that an
epidemic of disease that has spread across a large region; for instance
multiple continents, or even worldwide. The diseases are spreading from person
to person and the most dangerous thing is that even the infected one did not
show any symptoms but it infected the other one. This has come up in Germany
last month.
Tourism followed with ancillary industries is already
impacted. Three major airlines — United, American and Delta — announced today
that they were cancelling all flights to China. Very soon import of goods and
food items will be stopped from china which will create inflation of food items
in certain categories. Jordan has already halted animal, plant products imports
from China over Coronavirus.
China GDP numbers and other macro numbers will be low
without any doubt. Fourteen provinces and cities have said businesses need not
start operations until at least the second week of February. All the key cities
which are also manufacturing provinces have extended to remain shut down. They
include Guangdong, home to the tech city of Shenzhen across the border from
Hong Kong; Shanghai, home to China’s largest port and a newly-built Tesla Inc.
plant; as well as Jiangsu, where Nike shoes are manufactured. Henan in central
China, which has a large Foxconn plant making iPhones, also announced the
extended break.
Now the biggest risk to mankind is that many countries
are closing doors for entry into their country from China. They don’t want them
back to their country currently. New Zealand, Indonesia, Iraq etc are now
walking on the path of closing doors so as not to let infected people enter
their country.
Getting medical resources in place is the biggest
challenge for the time being. The weak infrastructure based country is more
cautious under the threat. The global shut down will cost billion if the
disease spreads and kills more people.
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