(Image source from: edition.cnn.com)
Covid Scare: China's Economy under Threat:- It all started in China and the Covid-19 scare occupied all the nations of the globe. China recovered on a fast note and the damage was minimal when compared to the countries like the United States of America and India. In a sudden shock, the new cases of coronavirus have seen a huge rise in China in the recent months. The mounting cost of the Covid policy and the restrictions in the country is having a massive impact on the GDP target of China. The supply chains and ports are facing huge delays and the financial capital Shanghai continues to remain in lockdown because of the sudden rise in the new cases of coronavirus.
China happens to be the second world's largest economy and it is slowing down in the latter half of 2021. The property market witnessed a huge slump and the annual GDP target is lowered in 2022. The experts from the 12 financial institutions polled by APF forecast GDP growth is restricted to five percent for the complete year. The expected figure stands at 4.3 percent for the first quarter. With fewer constraints, China's economy saw a good jump in January and February this year but the recent lockdowns slowed down the GDP completely. The increase in the coronavirus cases and lockdowns have severely disrupted the supply chains and other industrial activities.