As I posted earlier, this is the more troublesome problem. Not that the bug is not dangerous in itself if it gets loose on this continent
Currently around 400 million Chinese citizens live under some level of quarantine which has been imposed over some of the country’s biggest cities. Economically crucial metropolises such as Tianjin, Guangzhou and parts of the greater Shanghai region are under restrictions in a bid to stop the virus spreading……..
Flows of capital out of China have increased since the crisis began and there are reports of supply chains disrupted across Asia.
Speaking to the Daily Telegraph Freya Beamish, from Pantheon Macroeconomics, warned of significant economic growth.
She commented: “We’re expecting a serious contraction in the first quarter.
“It looks like quite nasty numbers.”
Pantheon predicted Chinese economic growth could fall to minus 2.5 percent if the crisis continues.
There are fears this could push the global economy towards recession.
Currently around a third of global economic growth takes place in China according to ratings agency Standard & Poor.
According to Capital Economics around £25billion left China during January, with the rate speeding up towards the end of the month.
This was around double what was experienced the month before.