China is facing one of the biggest challenges in their country. Corona virus has proven as one of the biggest crisis their country ever had. The disease caused by this virus has also got its scientific name i.e COVID-19. The outbreak of the disease has increased its victims to a greater number this week. The world is suffering from an epidemic but mainly it has targeted china.
People of China are restricted to movement
As the disease has not received a permanent and stable cure and has maintained to be the deadliest disease. As a result of which China is experiencing a fall in foreign market. The outbreak of the disease has affected the market and investors which is directly affecting the economy of china. Due to this crisis, indices of development may also have experienced a fall. It has already faced a dip if 1% in European markets. Some of the sectors of the manufacturing has majorly disturbed as the supply chain is damaged bitterly.
People of Beijing and Shanghai are restricted by the Government to move from one city to another extending their Chinese New Year break. More than 80 cities are restricted for movement. You can no longer see people on streets. Moreover, people are not even allowed to visit stores and go out according to their wishes. From each house only a single member of the family is allowed to visit stores to collect daily need items every two days.
How the virus is affecting the economy…find out here.
Due to no movement, public transport has experienced a great loss. Restaurants and stores have also recorded a huge fall. From malls to shops, fun parks to tourism everything has seek a loss. This has put China in a serious economic crisis.
This is taking a critical count on the Chinese economy. No statistics on the actual losses are available yet. But for example, the number of passengers travelling from one city to the other on public transport during the new year break was only 60% of 2019 levels.
China is one of the biggest suppliers in the world but due to the halt in the production process the gap between the demand and supply has grown large.The highest monthly rate of China’s CPI recorded a gain of 5.4% in the year 2011, but now the inflation has increased due to the drop in supply and demand.
Let us hope for a better and speedy recovery of the country and stay connected for more updates…