Question

what is the impact of the corona virus on Zambia's economy specifically on the agriculture, mining and tourism sectors and its access to the international markets? please give valid examples

1000 words.

Answer 1

Question: What is the impact of the Corona virus on Zambia's economy specifically on the agriculture,mining and tourism sector and its access to the international markets?Please give valid examples.

Answer:-

>The outbreak of the novel corona virus(covid 19) possess a grave threat to the global economy and Zambia's fragile economy which is much linked to China and regional African countries in most of its trading partnerships across wide range of sectors.

>The fall in global economic activity will surely hit Zambia as the nation relies on global economic markets for tourists,raw materials,remittances and exports of its commodities.Hence it is likely to impact on multi front on Zambia's economy.

Corona Virus threat on Zambia's Agriculture are as follows-

>In the event of lockdown on varied parts of the nation agricultural food products prices will surely surge at a higher rate that will cause inflationary consequences at Zambia's Food market.

>The most severe drought in recent decade has strucked many african nations with Zambia making no exception and its still trying to recover its losses of the impact of droughts on food products .

>Lockdown in at least 33 african nations have blocked farmers getting food to markets and threatened to scarce delivery of food assistance to rural populations.

>Informal markets which is the lifeline of Zambia's agri products are shut thereby causing gap in supply and demand of food products thus causing a instability of agricultural food supplies.

Corona Virus threat on Zambia's Mining Industry are as follows-

> Due to various industrial lockdown in foriegn markets there is decline in orders of copper which is Zambia's 75% contributor of exports receipts therebby causing an economic loss of substancial amount.

>China has 90% stake in Zambia's infrastructural developments and now with world markets especially China coming to a halt in industrial movement due to imposed lockdown Zambia continues for economic losss each day due to unproductive wastage of resources with zero output.

>China's financial support has been on sharp decline to Zambia on the wake of its struggle to cope up with Wuhan's virus spread and recovering process thus causing financial problem to Zambia financial system.

>With almost nil export orders of the mineral resources especially copper which Zambia posses in large amount due to indutrial lockdown all across the world the foreign exchange of the Nation's treasury is at constant decline thereby dragging the economy near to a financial emergency situation.

Corona virus adverse impact on Zambia's Tourism industry are as follows-

>The cancellations of major airliners such as Fly Emirates,South African airways and many other international flights suspension has resulted around 80-90% decline in Hotel bookings.

>The travel restrictions are expected to be enforced for upcoming entire year thereby directly hitting tourism sector

>Hotelier,Travel agents have already started to work on weekends,partially terminate certain hospitality serviuces and lay offs are on high thereby worsley hitting Zambia's tourism and hospitaliy sector.

>Even remittances of Zambia's expatriates are on sharp decline as they are unable to support thier dependents at Zambia due to travel restrictions in thier host countries.

Corona virus Threat of Zambia's Access to International markets are as follows-

> As the pandamic is expected to increase at rapid speed therefore it is likely that several country will close thier borders with Zambia thus it would impact cross border transport shutting crucial trade routes such as Harare to South Africa,Bostwana to Zambia etc.

>Decline in production in China which is Zambia's largest trading partner will result in halt to clearing and freight forwarding business operating at Zambia untill production plant resumes thier operations as the lockdown ceases.

> Several countries might adopt sanitory provisions measures while accepting Zambia's imports as per the quality norms in post corona times which would be a constraint to Zambia's Industry to fulfill the requirement as imposed by the trading importing nations in future.

>Inrternation market may adopt tarriff protectionist policies in order to boost host nation's industries and discourage imports thus it may prevent free trade regime which would not be in the best interest of Zambia.