The COVID-19 pandemic stopped Asian economies from growing

According to the International Monetary Fund (IMF), for the first time in 60 years, due to the impact of the COVID-19 pandemic, the economic growth rate of the Asian region in 2020 will be zero. According to Reuters - IMF on April 16, Asian economic growth this year will gradually slow down and stop completely, for the first time in 60 years, because of the "unprecedented" impact of the COVID pandemic. -19 to the regional economy.

Mr. Changyong Rhee, IMF's Asia-Pacific director, said that policymakers here need to offer targeted support to affected households and companies. most heavily due to travel bans, social exclusion policies and other anti-epidemic measures. "This is a very volatile and challenging period for the global economy. The Asia-Pacific region is no exception. The impact of the epidemic on this region will be severe, on a full scale and on the whole. There is no precedent, "said Mr. Changyong Rhee at an online press conference today April 16. Mr. Changyong Rhee urged Asian countries to use all possible policy means to respond to the current situation.

The IMF's report on the Asia-Pacific region published on April 16 said that the Asian economy will not grow this year, for the first time in 60 years. According to the IMF, if the disease control policies are successful, next year, it is predicted that economic growth in Asia will reach 7.6%, but the organization also believes that this vision is not certain. Unlike the global financial crisis of 2008 with the collapse of top US bank Lehman Brothers, the COVID-19 pandemic directly affected the service sector in the region by forcing people to stay. houses, and stores had to close out of business.

China's economy this year is expected to grow 1.2%, much lower than 6% in the growth forecast published in January 2020 of the IMF, due to weak exports and a sharp decrease in domestic activities due to the social way. However, the IMF predicts that the world's second-largest economy will reverse, speed up operations again in the second half of this year, and it estimates that growth will skyrocket to 9.2% next year. Still, there are threats to those growth potentials for China if the epidemic recurs and stagnates its economic return to normal operations.

#Asia #LDCs #Covid19

References

- Nam, S. (2020). Dịch virus Corona ảnh hưởng đến kinh tế Trung Quốc như thế nào: 6 yếu tố tiêu cực. Retrieved from URL:

https://vn.sputniknews.com/asia/202002298753823-dich-virus-corona-anh-huong-den-kinh-te-trung-quoc-nhu-the-nao-6-yeu-to-tieu-cuc-/

- Nam, B. (2020). Lao đao bởi khủng hoảng từ đại dịch Covid-19, tăng trưởng kinh tế châu Á sẽ giảm tới mức nào?. Retrieved from URL:

https://baoquocte.vn/lao-dao-boi-khung-hoang-tu-dai-dich-covid-19-tang-truong-kinh-te-chau-a-se-giam-toi-muc-nao-113201.html

- ONLINE, T. (2020). IMF: Đại dịch COVID-19 khiến kinh tế châu Á ngừng tăng trưởng. Retrieved from URL:

https://tuoitre.vn/imf-dai-dich-covid-19-khien-kinh-te-chau-a-ngung-tang-truong-20200416114849557.htm

- Nền kinh tế mới nổi châu Á: Cần đảm bảo vững chắc các nguyên tắc cơ bản cho tương lai sau đại dịch. (2020). Retrieved from URL:

https://baothuathienhue.vn/nen-kinh-te-moi-noi-chau-a-can-dam-bao-vung-chac-cac-nguyen-tac-co-ban-cho-tuong-lai-sau-dai-dich-a89824.html

Tran Phuong Thao