Prolonged Covid-19 may hit Malaysia’s GDP hard
Expert says GDP growth could fall below 4% if the country experiences a sharp fall in Chinese tourists and weaker orders from China
(The Malaysian Reserve) – THE country’s economic growth may fall below 4% if the coronavirus outbreak worsens and powerhouses like China and the US fail to halt the slides of their own economies.
Countries across the world are already calculating the billions of losses due to the Covid-19 which is the worst flu outbreak in 18 years.
Trade-reliant economies like South Korea, Singapore and Malaysia would be severely impacted. The three countries had already felt the impact of the US-China trade war. Malaysia’s neighbour Singapore had already warned of a possible recession this year due to the virus.
China is Malaysia’s largest trading partner and the cooling of the second-largest economy in the world would definitely impact the country.
The spread of the coronavirus, named Covid-19, hits exports, factory output and tourism.
