The widespread deadly disease Coronavirus that outstruck from China is now gradually taking over the whole world. With severe consequences, the fatal virus has till now taken thousands of lives globally but no such case has been reported from Pakistan. Seeing the country’s recovery pace, recently, it was revealed that the neighbor, China will soon be creating relocation opportunities for Pakistan.
China to relocate several industries to Pakistan as Coronavirus takes over!
However, as the planet fights with COVID-19, it is evident that most industries would find this an opportunity to move. In such uncertain times, entire Italy is put on lockdown after countrywide hospitals get flooded with Coronavirus patients. Well, earlier this week, Deputy Governor State Bank of Pakistan (SBP), Dr. Murtaza Syed, China might be relocating some industries to Pakistan because of Coronavirus.
The revelations were made at an official event of the Federation of Pakistan Chambers of Commerce and Industry (FPCCI). In the meeting to discuss trade fall, Dr. Murtaza Syed stated that China is controlling the novel Coronavirus well. Unfortunately, the number of affectees is increasing in other world countries and it is creating a state of panic.
”Risk appetite is decreasing among investors around the world!”
Assuring that the situation will improve by May, Dr. Murtaza Syed said, ”Risk appetite is decreasing among investors around the world and money is moving towards risk-free markets like bonds. In 2018, Pakistan imported electrical and electronic equipment worth $3.09 billion while machinery, nuclear reactors and boilers valuing at $3.09 billion were imported. Both the categories were among major imports from the country”.
”Pakistan also imports around 20% raw material, hence, there is a disruption in the supply chain, which our businessmen are overcoming by heading towards other countries to substitute their imports”, he added. Further, the Governor spoke on other trade matters of Pakistan under the ongoing CPEC project of China and the decrease in machinery imports.
”Oil prices decreased, which is going to have a positive impact on Pakistan!”
Pointing out the impact of CPEC on the whole issue, Dr. Syed uttered, ”Machinery import is decreasing as Pakistan has completed imports under the China-Pakistan Economic Corridor (CPEC), therefore, currently, we have some room. However, due to the decline in machinery imports, progress on the Special Economic Zones (SEZs) is going to face delay”.
Since many industrialists are turning towards Africa and European countries for the ease of exports, Pakistan will benefit from dropping oil prices. He said, ”Recently, the decrease in oil prices is going to have a positive impact on Pakistan. As oil is one of the major commodities imported every year”. Well, earlier, Pakistan’s first Coronavirus patient who belonged to the metropolis, Karachi, recovered completely.
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