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The novel coronavirus is spreading silently and invisibly through its human carriers, inflicting fear and sickness. Likewise, malaise can spread through the “carriers” of the global economy: the supply chains that link myriad manufacturing and service-sector firms around the world.

“These supply chains are the circulatory or nervous systems of the global economy and, like their equivalents in the human body, receive little or no attention until things go wrong. Once they do – which is increasingly often – our extreme vulnerability to these hidden links is exposed.”

https://www.scmp.com/comment/opinion/article/3050728/coronavirus-chaos-lays-bare-price-uncertainty-connected-global


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“We’ve been here before: recession, growing poverty, high inflation, billions of dollars in debt, a looming deadline for repayment and simmering anger toward the International Monetary Fund.

These are crucial days for Argentina, which this week began hosting an IMF mission team for talks on restructuring US$44 billion in debt owed to the lender.”

https://www.batimes.com.ar/news/economy/argentina-and-imf-discuss-debt-in-shadow-of-2001-crisis.phtml


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Thousands of schools across this oil-rich South American nation [Venezuela] are in… dire straits

“…as pauperized teachers abandon their profession or skip the country altogether amid one of the worst economic downturns in modern history. They leave behind students so malnourished they faint during class or fail to turn up; schools so neglected they often lack even water and electricity…”

https://www.theguardian.com/global-development/2020/feb/15/venezuela-schools-collapse-amid-economic-crisis


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Fayez al-Sarraj, the head of Libya’s internationally recognised government, has warned that the North African country will face a financial crisis and budget deficit in 2020 because of a blockade of oil terminals and oil fields by groups loyal to his rival, Khalifa Haftar.”

https://www.aljazeera.com/news/2020/02/al-sarraj-libya-faces-financial-crisis-due-oil-blockade-200216014833467.html


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Lebanon may not survive if its new government fails, the powerful Hezbollah warned on Sunday, urging the country’s divided politicians not to obstruct the cabinet as it seeks to address an unprecedented economic and financial crisis…

“Banks are curtailing access to deposits, the Lebanese pound has slumped, inflation has spiked and firms are shedding jobs and slashing wages in a financial crisis.”

https://www.reuters.com/article/us-lebanon-crisis/crisis-puts-lebanons-survival-at-stake-hezbollah-warns-idUSKBN20A0JL


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Prime Minister Boris Johnson has been warned that he will face a tough battle with the European Union in his efforts to secure a trade deal in the aftermath of Brexit.

“France’s foreign minister Jean-Yves le Drian gave the prediction during the Munich Security Conference, as both sides prepare to begin negotiations…”

https://news.sky.com/story/brexit-uk-and-eu-will-rip-each-other-apart-in-talks-france-predicts-11936235


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Pantheon Macro economist Claus Vistesen said the fall of the Eurozone may get worse due to coronavirus spreading… He warned “Germany is on verge of recession again and these numbers are all from before coronavirus”.

“But Berlin is not alone in dragging the Eurozone down into an economic crisis. The French economy has also ground to a halt, largely due to protests triggered by French President Emmanuel Macron’s crippling pension reforms.”

https://infosurhoy.com/news-summary/complete-write-off-germany-drags-eurozone-into-weakest-growth-since-european-debt-crisis/


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“”The sharp drop in  [Japan’s] output after October’s sales tax hike supports our view that Japan’s economy will shrink this year,” Capital Economics wrote in a note after the data was published. “But after today’s release, our forecast of a 0.2% drop in GDP in 2020 looks optimistic.”

“Other economists warned the longer the virus continues to infect people, the more the risks to Japan’s economy will grow.”

https://asia.nikkei.com/Economy/Coronavirus-threatens-Japan-rebound-as-GDP-falls-most-in-5-years


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Singapore cut its 2020 growth and exports forecasts on Monday due to the expected economic blow from the new coronavirus outbreak, flagging the chance of a recession this year.

A growing number of Asian Pacific economies are lowering their economic growth forecasts as the virus spreads, with Thailand and New Zealand also cutting their full-year estimates on Monday.”

https://www.aljazeera.com/ajimpact/singapore-cuts-growth-outlook-virus-increases-recession-risk-200217020122036.html


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Hong Kong is likely to see its biggest ever budget deficit in the next financial year in the face of a “tsunami-scale” blow dealt by the coronavirus outbreak after months of social unrest pushed the city into recession, the financial secretary has warned.”

https://www.scmp.com/news/hong-kong/hong-kong-economy/article/3050860/coronavirus-hong-kong-may-see-biggest-ever-budget


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Chinese banks face $944 billion of debt maturities onshore and $90 billion offshore this year.

“Authorities are going back to their old playbook of spewing handouts to get them through. … A stimulus campaign to pull manufacturers out of the trade-war doldrums didn’t do much for their balance sheets last year.”

https://www.bloomberg.com/opinion/articles/2020-02-17/coronavirus-china-s-easier-debt-deepens-financial-trap-for-smes


China is disinfecting and isolating used banknotes as part of efforts to stop the spread of the coronavirus that has killed more than 1,500 people, officials have said. Banks use ultraviolet light or high temperatures to disinfect yuan bills, then seal and store the cash for seven to 14 day…”

https://www.theguardian.com/world/2020/feb/15/chinese-banks-disinfect-banknotes-to-stop-spread-of-coronavirus


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“…Capacity utilisation at major Chinese ports has been 20 to 50 per cent lower than normal and more than a third of ports said storage facilities were beyond 90 per cent full, according to a survey conducted last week by the Shanghai International Shipping Institute, a Beijing-backed think-tank.

The effects on the shipping industry are likely to prove lasting.”

https://www.ft.com/content/9f543f48-4d96-11ea-95a0-43d18ec715f5


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“Airlines have grounded flights, banks have sent staff home. In China and worldwide, the virus has taken its toll…

With the coronavirus outbreak spreading far beyond its source in China, companies are braced for a hit on profits as demand slumps and production is disrupted in the world’s second largest economy and beyond.”

https://www.theguardian.com/business/2020/feb/15/coronavirus-black-swan-shadow-global-economy


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Global defense spending saw its biggest jump in a decade in 2019, driven by the U.S. and China as rivalries and conflicts stoke military investment.

“The International Institute for Strategic Studies (IISS) said the 4% rise, compared to a year earlier, was fueled by competition between major powers, new military technologies and rumbling warfare from Ukraine to Libya.”

https://www.japantimes.co.jp/news/2020/02/15/world/global-defense-spending-rose-4-2019-study-says/


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