The risk of a trillion-dollar erosion in global GDP

New delhi date. 26 February 2020, Tuesday

Economists are speculating that the world's GDP will hit more than a trillion dollars, given the worldwide instability caused by the coronavirus. In China, more than 4,000 people have coronary infections and the spread of it to other countries, with the reported death of 3, has made the world a concern.

Oxford economists estimate the world's GDP to exceed $ 1 trillion due to the absence of personnel in production units due to corona, low production, reduced travel, disruptions in supply chain and reduction in trade and investment.

Stock markets around the world, including the United States, have seen a massive erosion of investor capital. Market capitalization has declined by three to four percent.

Until now, governments and their central banks believed the corona virus could not harm the global economy, but their confidence was now being tested, an economist said.

The IMF had so far claimed that the global economic growth rate of 1 due to the virus could be lowered to 5.9 percent and could be estimated at 8 percent, but it is also saying that the situation is getting serious now.

After China, viruses spread to South Korea, Italy and Iran, and the death toll is likely to rise. Italy is predicting a recession due to the virus, and if it does, it will affect Europe as a whole. Consumer Confidence in Korea is currently going down to a five-year low.

It is becoming increasingly difficult to assess the risk as corona virus is not yet confirmed.