Impact of Coronavirus on World Economy
Coronavirus has dramatically affected the world economy since it has been termed as a global emergency. China was very first to be affected by Coronavirus then it spread to Europe, America, and other continents. Today, around 190 countries are facing Coronavirus.
Additionally, there is a partial or complete lockdown in all those countries. To restrain this deadly virus, many counties have taken strict actions even on the cost of the economy. The virus has impacted the countries, businesses and even individuals.
Businesses along with offices are completely closed, everyone is warned to confine to their homes. Many governments are trying to aid the governments in order to save them from collapse. This has been the second most negative impact after the 2008 recession.
Many economists believe that the world has already been facing a deep recession as every business has been negatively influenced, industrialists are worried about the recoveries from this grave suppression. One of the most affected businesses of Coronavirus is transportation, international flights are not functioning properly.
Most of the have announced air closure for the undefined time as to prevent from virus. Along with this, stock exchanges have slowed down to reach on the minimum points in their history. Oil prices are also reducing greatly which has gravely impacted the OPEC countries.
There is a huge loss to oil-producing countries as the global market has slowed down, their required demand has greatly decreased. There is more supply than the demand which causes the prices to decrease by large. It is negatively impacting their revenues and overall profits.
Moreover, the shopping malls, cinemas, automobiles, and related industries have also slowed down their functions, all their activities are badly disturbed and the owners are really concerned about the proper functioning and the growth of their businesses. And some of the companies have also shut down their subsidiaries due to the spread of this virus in their companies.
It has been variously commented by the scholars that the world economy has been slowed down for more than five years. This is one of the greatest losses in the history. Moreover, policymakers must think about it and they should recommend governments to provide financial assistance as well as packages to avoid the businesses from bankruptcy.
It is one of the possible ways to save the businesses and bring them to their tracks once the virus leaves