Question

what is the effect of construction sector in corona virus to related in ASEAN

Answer 1

The consequent economic implications of determining the influence of coronavirus have become the main cause of concern worldwide. With the global recession setting in, it won't be wrong to say that the biological virus is transforming gradually into some form of economic virus and doing significant harm. Social distancing has been suggested for being the best way to control the outbreak in the absence of a potential vaccine. By default, however, this has led to a curtailed movement of goods and people, stagnant economies and consequently a negative trend of growth.

The effect of the COVID-19 pandemic on global markets and trade is responsible for exposing the construction industry to a variety of challenges– challenges that could escalate if the spread of the disease is not curbed. Perhaps the greatest concern is about the 'stalled projects.' Lockdown compliance is becoming very antagonistic to the timely implementation of various projects. A missed deadline may not be dealt with seriously for government-commissioned projects but for private sponsors-it will take a major toll.

A number of delayed or canceled projects inevitably contribute to business losses.
Bringing ventures into the field from documentation is another obstacle in other domains. This depends mainly on two factors– labor availability and material availability. Currently, the labor force can not be hired, because their existence at a site obviously defies the social distancing procedure to be followed. Nonetheless, construction companies need to keep a detailed check on their workers in projects that meet the distancing procedure— both permanent and contracted.

The latest stocks of specialist building materials, manufactured machinery (imported from outside countries) are our only respite before the lockout is lifted. Due to government restrictions on interstate and interdistrict travel even materials collected locally are not available. Another problem facing the construction sector is the overburdened contractor who is responsible for ensuring the proper functioning not only of its key employees but also at the subcontractor level. The subcontractors who are critical for the delivery of any project are currently under immense stress.

Many are on the brink of bankruptcy, which may occur either immediately in the event of a site being shut down or after a certain time span. In the case that a site shuts down, the workforce in the construction industry is left vulnerable to business vagarities, because much of the work has to take place on site and can not be performed remotely. Investment and funding in the building sector is yet another issue facing us. With the world sliding into a recession period and consumers making investment decisions, a number of MNCs lying low and following safer practices, the same applies to bank investments.