Coronavirus: Asian ‘poster little one’ heads for recession as a result of virus

Singapore's skylineImage copyright Getty Images

The world has been given a sign of the financial influence of coronavirus as Singapore launched its preliminary development figures for this quarter.

The trade-reliant metropolis state now seems to be heading for its first full-year recession in about 20 years.

The figures recommend that the worldwide economic system can be set for a pointy contraction.

This week the International Monetary Fund (IMF) warned of a world recession worse than the one after the 2008 monetary disaster.

Singapore mentioned gross home product (GDP) shrank 2.2% year-on-year whereas, in contrast with the earlier quarter, GDP fell by 10.6%.

It marks the largest quarterly contraction for the southeast Asian nation since 2009, within the midst of the worldwide monetary disaster.

As one in all first international locations to launch financial development knowledge for the interval through which the outbreak has been spreading globally, the numbers from Singapore present a glimpse of how the continuing pandemic might have an effect on economies world wide.

Singapore was additionally one of many first international locations exterior China to report instances of the coronavirus.

Later on Thursday Singapore introduced a bundle value $33.7bn (£28.3bn) to assist cushion its economic system from the influence of the coronavirus pandemic.

It comes after the IMF this week forecast a world recession this yr which might be a minimum of as dangerous because the one seen within the wake of the monetary disaster greater than a decade in the past.

Lockdowns and different measures imposed by governments world wide to sluggish the unfold of the virus are battering the worldwide economic system, with many analysts now anticipating a deep, lengthy recession.