economic famine
TLTP
KARACHI
President Pakistan Businessmen and Intellectuals Forum and All Karachi Industrial Alliance, Mian Zahid Hussain said on Wednesday that the world is heading towards economic famine.
Globally, around 35 percent businesses will go bankrupt due to the pandemic which will be a great challenge to their economics, said Zahid who is also FPCCI’s Businessmen Panel (BMP) senior vice chairman and a former provincial minister.
He said that the impact of the virus in Pakistan is on retreat but it is in full swing in many developed nations which are considered very important to the global economic system.
Talking to the business community, the veteran business leader said that it has been estimated that despite spending trillions of dollars, 57 percent of the US companies will be insolvent sooner or later.
The US will be followed by Brazil where 45 percent companies will be closed down, 43 percent companies in the UK will become non-existent while 41 percent companies in Spain and 20 percent companies in China will be out of business in 2020 and 2021.
The former minister noted that reduced interest rates, packages, and incentives will not change the situation as it will need out of the box solutions; otherwise, the economy of developed nations will suffer leading to a global crisis.
