Amid the coronavirus pandemic on its peak, the united nations conference on trade and development has said, the world economy will struggle with big recession this year. The expected loss of the global income is expected in trillions of dollars. This will create a severe situation for many countries in the world including the developing nations. The organization also mentioned that China is likely to remain intact from the recession, India may also get a possible exemption from the recession.
The recession is at the doorstep and the world is sitting before the great economy slow down. The income losses, down graph of economy and the worldwide affecting recession, is at threshold says one report. This is said because all the commercial complexes, factories, industries, production houses, manufacturing hubs are under month-long lockdown which has the lead the situation in no production and no work. No work and no production mean no income, no income means no investment, no buying, less expenditure. This all will ultimately lead the market to the dearth of cash and revenue and this is how the great recession is on the verge to hamper the motion of developments.
New UNCTAD estimates on how the #coronavirus pandemic will impact global investment show a dramatic 30% to 40% drop in #FDI flows during 2020-2021.— UNCTAD (@UNCTAD) March 26, 2020
This is much more than our projections of 5% to 15% earlier this month. https://t.co/xxbiQNpM6E#COVID19 pic.twitter.com/EsO1D3yqpB
Powerful countries and financially strong groups are contemplating to resist the upcoming situation to get rid of the current scenario. Once we get rid of the pandemic, we need to resume the business as soon as possible, but that is not enough. Production without demand is not going to help anyway. We must not deny the reality instead we must confront and tackle the situation bravery. Governments need to make policies to help their small ventures, medium and small enterprises, local business, start-ups etc. to come bring them back in market strongly. Small start-ups in initial phases are the most affected enterprises in this global crisis. As of now we can only hope and wish to get the situation to normalcy and resume the businesses. In another announcement united nation conference for trade and development calls for an immediate 2.5 trillion dollar emergency package for developing countries.
Must read this article – https://chauhansameer.com/the-chinese-virus-covid-19-is-the-conspiracy-of-china/