Rising infection rates taking economic toll
Global cases pass 500K; 25M jobs in jeopardy
The human and economic toll of the lockdowns against the new coronavirus virus mounted Thursday as India struggled to feed the multitudes, Italy shut down most of its industry, and a recordshattering 3.3 million Americans applied for unemployment benefits in a single week.
The number of infections around the globe passed a half-million and for the first time, the United States rose to top the list with more than 82,400 cases. World leaders held a video summit to grapple with how long to keep the economy at a standstill to help flatten the rising curve, the damage to people’s livelihoods and their well-being started to come into focus.
In India, where the country’s 1.3 billion people were under orders to stay home, legions of poor were suddenly thrown out of work, and many families were left struggling for something to eat.
“Our first concern is food, not the virus,” said Suresh Kumar, 60, a bicycle rickshaw driver in New Delhi whose family of six relies on his daily earnings of about $4. “I don’t know how I will manage.”
India has the world’s second-highest number of people living in extreme poverty. Rickshaw drivers, produce peddlers, maids, day laborers and other low-wage workers form the backbone of the economy, and many live day-to-day on their wages and have no savings to fall back on.
The Indian government announced a $22 billion economic stimulus package that will deliver monthly rations of grain and lentils to a staggering 800 million people.
Despite various stimulus efforts, as many as 25 million jobs could be lost in the economic upheaval, more than during the global financial meltdown of 2008.
Italy, the eurozone’s third-largest economy and a major exporter of machinery, textiles and other goods, became the first Western developed nation to idle most of its industry, extending a shutdown on smaller, nonessential businesses to heavy manufacturers.
Among the companies that have shut down or rolled back production: Fiat Chrysler, Ferrari, Pirelli tires and Luxottica eyewear, maker of Ray-bans and Oakleys.
In other developments:
China said it is temporarily barring most foreigners from entering as it tries to curb imported cases. Reports of new cases from inside the country have stopped.
In the Mideast, Saudi Arabia announced a lockdown on the capital, Riyadh, and Islam’s two holiest cities, Mecca and Medina, in addition to a nationwide curfew. In the United Arab Emirates, authorities announced an overnight weekend lockdown.
The leaders of the Group of 20 major industrialized nations vowed to work together to confront the crisis but made no specific commitments.