The Ghana Union of Traders Association (GUTA), is pleading with banks that lend to its members to help alleviate the pressure that may befall them as the spread of coronavirus poses a threat to their activities.
According to the Association, most of its small scale business owners have been the biggest causalities in the outbreak of the coronavirus in China, since they are unable to physically visit the Asian country to buy their goods.
A statement signed by the Secretary General of GUTA, Alpha Shaban, said “most businesses cannot turn over their capital at the moment in time due to delay in manufacturing in China”.
The statement explained that while the large and medium scale importers buy directly from the manufacturers through their foreign suppliers without necessarily travelling to China, the small scale businesses buy from the open markets and shops in China.ADVERTISEMENT
Due to this, the small scale businesses are compelled to go to China to buy their goods, a situation that has been curtailed by the outbreak of the coronavirus.
They lamented that with the extension of the Chinese holiday and restriction on movement to and from the affected areas, the turnaround of their funds will be difficult until the situation is brought under complete control.
According to GUTA, the short in supply of goods in China and the increase in demand is already causing prices to go up.
They pointed out that turning to other business destinations like Dubai, Turkey and other manufacturing countries is not prudent since the spread of the coronavirus has gone beyond the borders of China.
Due to all these developments, GUTA is pleading with banks to find a way of alleviating the plight of those who may have borrowed money from the financial institutions.
Reduced Chinese imports to hit Ghana’s economy despite cedi’s gain – Health Economist
A Health Economist, Dr. Gordon Abekah-Nkrumah, says suggestions that the Ghana cedi may have strengthened against the US dollar partially due to reduced imports from China over the outbreak of the coronavirus could be true.
However, Dr. Abekah-Nkrumah, speaking on the Citi Breakfast Show, stated that despite the gains made by the local currency, the reduced imports is likely to have an adverse impact on the country’s economy in the long-term.
About Covid-19
The disease is caused by a member of the coronavirus family that has never been encountered before.
Like other coronaviruses, it has come from animals. Many of those initially infected either worked or frequently shopped in the Huanan seafood wholesale market in the centre of the Chinese city.
The virus can cause pneumonia. Those who have fallen ill are reported to suffer coughs, fever and breathing difficulties.
In severe cases, there can be organ failure. As this is viral pneumonia, antibiotics are of no use.
The antiviral drugs we have against flu will not work. Recovery depends on the strength of the immune system. Many of those who have died were already in poor health.
