Coronavirus outbreak causes global economic slowdown with China ‘at standstill’

More than 2,200 people, the vast majority in China, have been killed since the outbreak began. A number of major Chinese cities were put into shutdown and hundreds of millions of Chinese citizens subject to controls in a bid to contain the outbreak.

Dr Gerald Lyons, Chief Economist at Natwealth, warned coronavirus is having a dramatic impact on the global economy.

Speaking on BBC Newsnight he commented: “The world economy is slowing.

“At the beginning of the year, China and the rest of Asia looked likely to account for two-thirds of global growth this year.

“Now China is at a standstill and because of supply chains the rest of Asia including Japan have slowed sharply.

“That inevitably means the world economy is already slowing and depending on how long that lasts it will slow further.”

Separately South Korea has declared an ‘emergency’ as 100 new cases have been confirmed in the country.

It came after the second death from the virus in South Korea was confirmed, in the southeast of the country.

Many cases have been linked to the Shincheonji Church, which critics have labelled a cult.

READ MORE: Coronavirus crisis spreads in Iran – Iraq bans flights

However Dr Ghebreyesus added prevention measures put in place meant there is a “fighting chance” of stopping the virus spreading widely.

There are growing fears about the number of cases in Iran, where four people have died.

On Friday both Israel and Lebanon reported their first cases of the virus.

In total China has reported 75,567 cases, which have caused 2,239 deaths.

The virus first emerged in the Chinese province of Hubei.

Separately the governor of Tokyo criticised Shaun Bailey, the Tory candidate for Mayor of London, after he suggested the 2020 Olympics could be relocated to the UK capital.

According to the South China Morning Post he said it was “not appropriate to try to make it an issue in a mayoral election”.

He also claimed Tokyo’s association with the virus was because of a cruise ship which “belongs to Britain”.

Italy has also confirmed 16 cases of coronavirus.

All public meetings, including church services, sports matches and carnivals, have been banned in the ten towns.

Authorities have also requested that 50,000 people remain at home.

source: express.co.uk