Archive for ‘livelihood’

31/05/2020

India coronavirus: Why is India reopening amid a spike in cases?

A rush of people and motorists in a marketplace area as shops start opening in the city under specific guidelines, on May 20, 2020 in Jammu, IndiaImage copyright GETTY IMAGES
Image caption Within a week of reopening, India has seen a sharp spike in cases

India is roaring – rather than inching – back to life amid a record spike in Covid-19 infections. The BBC’s Aparna Alluri finds out why.

On Saturday, India’s government announced plans to end a national lockdown that began on 25 March.

This was expected – the roads, and even the skies, have been busy for the last 10 days since restrictions started to ease for the first time in two months. Many businesses and workplaces are already open, construction has re-started, markets are crowded and parks are filling up. Soon, hotels, restaurants, malls, places of worship, schools and colleges will also reopen.

But the pandemic continues to rage. When India went into lockdown, it had reported 519 confirmed cases and 10 deaths. Now, its case tally has crossed 173,000, with 4,971 deaths. It added nearly 8,000 new cases on Saturday alone – the latest in a slew of record single-day spikes.

A worker cleans the mascot of fast-food company McDonald's for the reopening of the outlet in Hyderabad on May 20.Image copyright GETTY IMAGES
Image caption Fast food chains like McDonald’s have begun reopening outlets in parts of India.

So, why the rush to reopen?

The lockdown is simply unaffordable

“It’s certainly time to lift the lockdown,” says Gautam Menon, a professor and researcher on models of infectious diseases.

“Beyond a point, it’s hard to sustain a lockdown that has gone on for so long – economically, socially and psychologically.”

From day one, India’s lockdown came at a huge cost, especially since so many of its people live on a daily wage or close to it. It put food supply chains at risk, cost millions their livelihood, and throttled every kind of business – from car manufacturers to high-end fashion to the corner shop selling tobacco. As the economy sputtered and unemployment rose, India’s growth forecast tumbled to a 30-year-low.

Raghuram Rajan, an economist and former central bank governor, said at the end of April that the country needed to open up quickly, and any further lockdowns would be “devastating”.

The opinion is shared by global consultant Mckinsey, whose report from earlier this month said India’s economy must be “managed alongside persistent infection risks”.

Passengers maintaining social distance as they are on board in a DTC Bus after government eased lockdown restriction, at AIIMS on May 20, 2020 in New Delhi, India.Image copyright GETTY IMAGES
Image caption As restrictions ease, Indians are slowly getting used to the new normal

“The original purpose of the lockdowns was to delay the spike so we can put health services and systems in place, so we are able handle the spike [when it comes],” says Dr N Devadasan, a public health expert. “That objective, to a large extent, has been met.”

In the last two months, India has turned stadia, schools and even train coaches into quarantine centres, added and expanded Covid-19 wards in hospitals, and ramped up testing as well as production of protective gear. While grave challenges remain and shortages persist, the consensus seems to be that the government has bought as much time as possible.

“We have used the lockdown period to prepare ourselves… Now is the time to revive the economy,” Delhi Chief Minister Arvind Kejriwal said last week.

The silver lining

For weeks, India’s relatively low Covid-19 numbers baffled experts everywhere. Despite the dense population, disease burden and underfunded public hospitals, there was no deluge of infections or fatalities. Low testing rates explain the former, but not the latter.

In fact, India made global headlines not for its caseload but for its botched handling of the lockdown – millions of informal workers, largely migrants, were left jobless overnight. Scared and unsure, many tried to return home, often desperate enough to walk, cycle or hitchhike across hundreds of kilometres.

Perhaps the choice – between a virus that didn’t appear to be wreaking havoc yet, and a lockdown that certainly was – seemed obvious to the government.

But that is changing quickly as cases shoot up. “I suspect we will keep finding more and more cases, but they will mostly be asymptomatic or will have mild symptoms,” Dr Devadasan says.

The hope – which is also encouraging the government to reopen – is that most of India’s undetected infections are not severe enough to require hospitalisation. And so far, except in Mumbai city, there has been no dearth of hospital beds.

India’s Covid-19 data is spotty and sparse, but what it does have suggests that it hasn’t been as badly hit by the virus as some other countries.

The government, for instance, has been touting India’s mortality rate as a silver lining – at nearly 3%, it’s among the lowest in the world.

But some are unconvinced by that. Dr Jacob John, a prominent virologist, says India has never had, and still doesn’t have, a robust system for recording deaths – in his view, the government is certainly missing Covid-19 deaths because they have no way of knowing of every fatality.

A woman jogs at Lodhi Garden after the local government eased restrictions imposed as a preventive measure against the spread of the COVID-19 coronavirus in New Delhi on May 21, 2020.Image copyright GETTY IMAGES
Image caption Indians are venturing out again but it’s unclear how many of them are asymptomatic.

And, he says, “what we must aim for is flattening the mortality curve, not necessarily the epidemic curve”.

Dr John, like several other experts, also predicts a peak in July or August, and believes the country is reopening so quickly because the “government realised the futility of such leaky lockdowns”.

A shift in strategy

So is the government gearing up for another lockdown when the peak comes?

While Dr Menon believes the lockdown was well-timed, he says it was too focused on cases coming from abroad.

“There was a hope that by controlling that, we could prevent epidemic spread, but how effective was our screening [at airports]?”

Now, he adds, is the time for “localised lockdowns”.

Media caption Coronavirus: Death and despair for migrants on Indian roads

The federal government has left it to states to decide where, how and to what extent to lift the lockdown as the virus’ progression varies wildly across India.

Maharashtra alone accounts for more than a third of India’s active cases. Add Tamil Nadu, Gujarat and Delhi, and that makes up 67% of the national total.

But other states – such as Bihar – are already seeing a sharp uptick as migrant workers return home.

“Initially, most of your cases were in the cities,” Dr Devadasan says. “But we kept the migrant workers in cities and didn’t allow them to go home. Now, we are sending them back. We have facilitated transporting the virus from urban areas to rural areas.”

While the government has said how many infections have been avoided – up to 300,000 – and lives saved – up to 71,000 – by the lockdown, there is no indication of what lies ahead.

There is only advice: The day the government began to ease restrictions, Mr Kejriwal tweeted, urging people to “follow discipline and control the coronavirus disease” as it was their “responsibility”.

The famous Paranthe wali gali (bylane of fried bread) in Chandni Chowk, on August 20, 2014 in New Delhi, India.Image copyright GETTY IMAGES
Image caption Social distancing will prove to be India’s biggest post-lockdown challenge

Because the alternative – of curfews and constant policing – is unsustainable.

“My worry is more the circumstances of people – it’s not as though they have an option to practise social distancing,” Dr Menon says.

And they don’t – not in joint family homes or one-room hovels packed together in slums, not in crowded markets or busy streets where jostling is second nature, or in temples, mosques, weddings or religious processions where more is always merrier.

The overwhelming message is that the virus is here to stay, and we have to learn to live with it – and the only way to do that, it appears, is to let people live with it.

Source: The BBC

13/05/2020

Xinhua Headlines-Xi Focus: Xi stresses achieving moderately prosperous society in all respects

Chinese President Xi Jinping, also general secretary of the Communist Party of China Central Committee and chairman of the Central Military Commission, learns about poverty alleviation efforts at an organic daylily farm in Yunzhou District of Datong City, north China’s Shanxi Province, May 11, 2020. (Xinhua/Li Xueren)

— Xi stressed addressing the difficulties faced by enterprises in resuming production and operation.

— Xi underscored lifting the remaining poor population out of poverty.

— Xi required implementing pro-employment policies.

TAIYUAN, May 12 (Xinhua) — Chinese President Xi Jinping has stressed efforts to complete building a moderately prosperous society in all respects, and ride on the momentum to write a new chapter in socialism with Chinese characteristics for a new era.

Xi, also general secretary of the Communist Party of China (CPC) Central Committee and chairman of the Central Military Commission, made the remarks during an inspection tour in north China’s Shanxi Province.

Xi called for efforts to overcome the adverse impacts of the COVID-19 epidemic and make greater strides in high-quality transformation and development to ensure that the target of poverty eradication is reached and the building of a moderately prosperous society in all respects is completed.

During the tour from Monday to Tuesday, Xi inspected work on coordinating the regular epidemic response with economic and social development, and on consolidating the poverty eradication results.

While visiting an organic daylily farm in Yunzhou, Datong City, on Monday, Xi said what he cares about the most after poverty eradication is how to consolidate the achievements, prevent people from falling back into poverty, and make sure rural people’s incomes rise steadily.

He said an important benchmark to evaluate an official’s job performance is to see the amount of good and concrete services he or she has delivered to the people.

When visiting a community of relocated villagers, Xi said relocation is not only about better living conditions but also about chances to get rich. He called for follow-up support to residents with tailor-made rural business projects to ensure sustainable development.

Highlighting that whether the people can benefit shall be a top concern, Xi demanded more supporting policies be put in place in terms of industrial development, financing, agricultural insurance, among others.

Xi applauded the strenuous efforts made by primary-level officials on helping people fight poverty.

At the home of villager Bai Gaoshan, Xi chatted with Bai’s family as they sat on a “kang” — a bed-stove made out of clay or bricks in north China.

Chinese President Xi Jinping, also general secretary of the Communist Party of China Central Committee and chairman of the Central Military Commission, learns about poverty alleviation efforts in a village of Xiping Township in Datong City, north China’s Shanxi Province, May 11, 2020. (Xinhua/Xie Huanchi)

Xi said the CPC wholeheartedly seeks happiness for the Chinese people, having stopped collecting agricultural taxes and fees, helping the impoverished rural residents with housing and medical service, training them with skills, and finding ways for them to live a prosperous life.

“I believe our villagers will enjoy better days ahead,” Xi said.

On top of that, he called for consolidating achievements in poverty alleviation, and then focusing on rural vitalization to ensure a better life for rural residents.

He then went on to visit the 1,500-year Yungang Grottoes, a “treasure house” of artifacts featuring elements blending Chinese and foreign cultures, as well as cultures of China’s ethnic minorities and the Central Plains.

Xi stressed that historical and cultural heritages are irreplaceable precious resources, and protecting them should always be put in the first place in tourism development.

Noting that tourism should not be over-commercialized, Xi said tourism should become a way for the Chinese to understand and appreciate the culture of the nation and enhance their cultural confidence.

The historical implications of communication and integration behind the Yungang Grottoes should be further explored to enhance the sense of community for the Chinese nation, said Xi.

During a research tour in a stainless steel manufacturer in the provincial capital Taiyuan on Tuesday morning, Xi said products and technology are the lifeline of businesses, calling for more efforts in technological innovation to make a greater contribution to the development of advanced manufacturing.

He also called on businesses to strictly implement epidemic prevention and control measures to ensure the safety and health of their workers, while promoting the resumption of work and production to make up for the time lost.

Chinese President Xi Jinping, also general secretary of the Communist Party of China Central Committee and chairman of the Central Military Commission, waves to workers during a research tour in a stainless steel manufacturer in Taiyuan, capital city of north China’s Shanxi Province, May 12, 2020. (Xinhua/Li Xueren)

Later on, Xi went to check the ecological protection work of the Fenhe River in the city, and urged the incorporation of environment protection, energy revolution, green development, and economic transformation.

After hearing the work reports of the CPC Shanxi Provincial Committee and the provincial government on Tuesday afternoon, Xi stressed that no relaxation is allowed in epidemic prevention and control, noting that efforts should be made to guard against both imported infections and domestic rebounds, improve regular prevention and control mechanism, and prevent new outbreaks.

Xi called for efforts on more promptly and effectively addressing the difficulties faced by enterprises in resuming production and operation, on solid implementation of all the policies and measures for expanding domestic demand, and on strengthening the competitiveness and quality of the real economy, especially the manufacturing industry.

Chinese President Xi Jinping, also general secretary of the Communist Party of China Central Committee and chairman of the Central Military Commission, speaks with workers during a research tour in a stainless steel manufacturer in Taiyuan, capital city of north China’s Shanxi Province, May 12, 2020. (Xinhua/Xie Huanchi)

Continuous efforts should be made to promote the adjustment and optimization of China’s industrial structure, and scientific and technological innovations should be greatly enhanced to continue achieving breakthroughs in new infrastructures, technologies, materials, equipment as well as new products and business models, Xi said.

He stressed overcoming the difficulties and obstacles facing reforms in key areas, including state-owned enterprises and assets, the fiscal, tax, and financial system, business environment, the private sector, domestic demand expansion, and urban-rural integration.

Xi also highlighted efforts to improve the country’s system and mechanism for opening-up.

China will uphold the concept that lucid waters and lush mountains are invaluable assets, and steadily implement the national strategy for ecological protection and high-quality development of the Yellow River basin, he said.

More should be done to accelerate institutional innovation and strengthen the implementation of institutions to help form a green way of production and living, he said.

Efforts should be made to solidify the foundation for the development of agriculture and rural areas, beef up policy support for grain production and lift the remaining poor population out of poverty, Xi said.

Authorities should adhere to the people-centered development philosophy and ensure the bottom line of people’s livelihood, Xi said. He added that efforts should be made to implement pro-employment policies and facilitate the employment of key groups such as college graduates, veterans, rural migrant workers and urban people facing difficulties.

Efforts should be expedited to improve the weak areas in the public health system exposed by the epidemic and shift the focus of social governance to the primary levels, Xi said.

The rich and colorful local history and culture as well as revolutionary cultural resources should be fully drawn on and used to promote cultural advancement, Xi said.

He stressed consistent efforts to promote core socialist values to guide Party cadres as well as the public to enhance morality, cultivate good ethics and strengthen cultural confidence.

Xi also called for efforts to improve the Party’s political ecosystem, strictly observe the Party’s political discipline and rules and fight against corruption and undesirable conduct.

Source: Xinhua

01/02/2020

India steps up farm support, offers tax cuts to revive faltering growth

NEW DELHI (Reuters) – India sought to boost growth in a federal budget on Saturday that raised spending on farms and expressways and offered cuts in personal taxes, but the measures fell short of market expectations and battered stocks.

Prime Minister Narendra Modi’s government is grappling with the country’s worst slowdown in a decade, with falling employment, consumption and investment ratcheting up the pressure to revive growth.

The government estimates growth this year to March 31 will slip to 5%, the weakest pace since the global financial crisis of 2008-09. It also warned an expected rebound the following year might entail a blow-out in fiscal deficit targets.

Finance Minister Nirmala Sitharaman, presenting the budget for the financial year beginning April 1, said 2.83 trillion rupees ($39.8 billion) will be allocated toward agriculture and allied activities, up 5.6 percent on the previous year.

The funds will be deployed to help farmers set up solar power generation units as well as establish a national cold storage system to transport perishables.

Sitharaman also vowed to spend $50.7 billion in coming years on a federal water scheme to address challenges facing one of the world’s most water-stressed nations.

Agriculture accounts for near 15% of India’s $2.8 trillion economy and is a source of livelihood for more than half of the country’s 1.3 billion population.

Sitharaman announced a new personal tax system including cuts for those ready to give up a myriad of tax breaks. She also abolished payment of dividend distribution tax by companies to spur investment.

“People have reposed faith in our economic policy,” Sitharaman said to the thumping of desks in parliament. “This is a budget to boost their income and enhance their purchasing power.”

Opposition parties slammed the budget, saying it had failed to address the slowdown in consumer demand and investment. “The government is in complete denial that the economy faces a grave macro economic challenge,” said former finance minister P. Chidambaram.

But higher government spending has put pressure on public finances, prompting caution from rating agencies. Sitharaman said the fiscal deficit for the current year would widen to 3.8% of GDP, up from 3.3% targeted for the current year.

Gene Fang, associate managing director, sovereign risk at Moody’s, said: “India’s 2020/21 budget highlights the challenges to fiscal consolidation from slower real and nominal growth, which may continue for longer than the government forecasts.”

GOVERNMENT SPENDING

For fiscal 2020/21 Sitharaman set the fiscal deficit at 3.5 percent. Moody’s said India’s government debt is already significantly higher than the average for Baa-rated sovereigns, a product of persistent fiscal deficits.

To help finance government spending, Sitharaman set a target for selling stakes in state firms at 2.1 trillion rupees for 2020/21, more than three times the amount expected this year.

She said the government will sell a part of its holding in state-run Life Insurance Corp, the country’s biggest insurance company.

But many experts said the measures did not go far enough to address the slowdown and structural flaws.

“In a normal scenario this budget would have been considered as good providing tax benefit to the common man, corporate and focus on farmers’ incomes, but the situation required more,” said Vinod Nair, head of research at Geojit Financial Services in Kochi.

Indian shares slid to a more than three-month low after a special trading session on Saturday, dented by what analysts said was a lack of sufficient stimulus measures. The NSE Nifty 50 index .NSEI closed 2.5% lower while the benchmark S&P BSE Sensex .BSESN fell 2.4%

“Markets had very high expectations from the budget … these expectations have not been met,” said Deepak Jasani of HDFC Securities.

The government also announced higher duties on a host of imports from walnuts to phone parts. Taxes on imports of pre-assembled printed circuit boards were raised to 20% from 10% and there were new taxes on mobile phones ringers and display panels in a bid to boost local manufacturing.

In its annual economic report released on Friday the government predicted growth would rebound to 6.0% to 6.5% in the fiscal year beginning April 1.

Some economists say global trade tensions and the outbreak of coronavirus in China pose a new risk to economic recovery by hitting cross-border commerce and supply chains.

Source: Reuters

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