Economics
Covid-19 Could Push Half A Billion People Into Poverty
According to one estimate, 420-580 million people worldwide could be pushed into poverty, with as much as 240 million of them living in the East Asia and Pacific region.
Charity group Oxfam has warned that a recession caused by Covid-19 could push an extra half a billion people into poverty – 8 percent of the world’s population – unless urgent action is taken.
A global recession could reverse up to three decades of improvements in living standards and, according to one estimate, push 420-580 million people worldwide into poverty. The World Food Program, has warned that COVID-19 will likely double the number of people suffering from acute hunger, to 265 million.
- COVID-19 could spark a global recession, reversing up to three decades of improvements in living standards.
- According to one estimate, 420-580 million people worldwide could be pushed into poverty.
- It’s vital that governing bodies and world banks work together to support the countries than are unable to support themselves, write two former world leaders and two economists.
The most serious scenario involves a 20 percent fall in income which would result in an additional 548 million people earning less than the World Bank poverty threshold of $5.50 per day.
Poverty rate increased from 7.2 percent to 9.8 percent
Between 2015 and 2018, the poverty rate in Thailand increased from 7.2 percent to 9.8 percent, and the absolute number of people living in poverty rose from 4.85 million to over 6.7 million. The increase in poverty in 2018 was widespread – occurring in all regions and in 61 out of 77 provinces.
Although lockdowns are being eased in many places, the daily number of new COVID-19 cases worldwide recently reached its highest level yet, while the pandemic’s devastating economic toll continues to mount as new epicenters arise in the emerging and developing world.
We are at a critical moment, because the poorest countries in Africa, Asia, and Latin America are facing economic and public-health emergencies that demand immediate action. A diverse group of middle-income economies need help, too. Together, these countries represent nearly 70% of the world’s population and account for approximately one-third of global GDP.
Business
India Indicates Willingness to Strengthen Business Relations with China Following Border Dispute Resolution – MSN
India shows willingness to strengthen business relations with China following the resolution of border tensions, indicating a potential shift towards economic cooperation between the two nations.
India Signals Business Intentions with China
India has expressed its willingness to strengthen business relations with China following the recent resolution of border tensions. This shift marks a significant change in India’s approach towards its neighboring country, particularly after a prolonged period of strained relations. The move highlights India’s interest in enhancing economic ties, acknowledging the potential benefits of cooperation.
Economic Opportunities Ahead
The resolution of border disputes opens avenues for trade and investment between the two nations. Indian officials are optimistic that improved relations could lead to increased bilateral trade, enhancing mutual prosperity. As both economies grow, the collaboration could aid in addressing various global challenges together.
A New Chapter in India-China Relations
This new phase in India-China relations comes at a crucial time, as both countries navigate complex geopolitical landscapes. With a focus on economic integration, India aims to foster a collaborative atmosphere that could promote regional stability and growth. The commitment to dialogue and negotiation signals a positive shift towards a more stable partnership.
Source : India signals readiness to pursue China business ties after border row resolved – MSN
Business
China’s Travel Surge: Expanded Visa Exemptions Enhance Tourism and Business Prospects, Improving Access for Travelers and Strengthening Global Connectivity – Travel And Tour World
China has improved travel access by expanding visa exemptions, attracting millions of international visitors and fostering cultural exchanges, while enhancing global connectivity and positively shifting perceptions of the country.
The Shift in China’s Travel Landscape
China is experiencing a travel boom driven by a significant reduction in visa restrictions. Starting December 1, 2023, travelers from 38 countries, including major European nations, can visit visa-free for up to 30 days. This change reflects China’s commitment to enhance global mobility and revitalize its tourism industry post-pandemic. As a result, international arrivals increased to over 8.1 million by the third quarter of 2024, marking a 48.8% rise from the previous year.
Exploring Beyond Traditional Destinations
The new access has prompted travelers to seek immersive experiences, venturing beyond iconic sites like the Forbidden City. Tourists increasingly explore local cultures and markets, enhancing their understanding of daily life in China. Guides have adapted, offering tours that include cultural hotspots and local culinary experiences, thereby enriching the overall visitor journey and promoting authentic engagement.
Broader Implications for Global Connectivity
China’s visa-free initiatives foster greater international connectivity and cooperation in trade. As foreign travelers find it easier to engage with Chinese businesses, reciprocal visa easings may follow globally. The improved perceptions of safety and hospitality, highlighted through social media, contribute to a renewed interest in China’s diverse cultural landscape and its potential as a primary travel destination.
Banking
HSBC to Scale Back China Credit Card Operations Amid Expansion Challenges – Reuters
HSBC is withdrawing from its China credit card business due to difficulties in expanding, marking a strategic retreat in a challenging market environment.
HSBC’s Strategy Shift in China
HSBC is scaling back its credit card operations in China, highlighting challenges the bank has faced in expanding its customer base. The competitive landscape, combined with changing consumer preferences, has made it increasingly difficult for the bank to maintain its position in this lucrative market.
Market Challenges Ahead
Recent reports indicate that HSBC is reassessing its strategy, focusing resources on other areas where it sees stronger growth potential. The decision to pull back reflects the broader difficulties foreign banks encounter when trying to penetrate China’s financial services sector.
Future Focus
As HSBC pivots away from its credit card business in China, it aims to concentrate on digital banking and wealth management services. This strategic shift underscores the bank’s commitment to adapting to the evolving landscape of financial services while ensuring long-term sustainability in the region.
Source : Exclusive: HSBC pulling back from China credit card business after struggling to expand – Reuters
- India Indicates Willingness to Strengthen Business Relations with China Following Border Dispute Resolution – MSN
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- China’s Travel Surge: Expanded Visa Exemptions Enhance Tourism and Business Prospects, Improving Access for Travelers and Strengthening Global Connectivity – Travel And Tour World
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