COVID 19 And Its Effect On Nepal
The first case of the corona was verified in Nepal on 24 January 2020 in Kathmandu. The victim showed mild signs and had been released a week earlier with guidance to self-quarantine at home, he was finally verified to have fully recovered. Mid-January and March, Nepal took steps to prevent a public outbreak of the disease, while planning for it by getting essential supplies, equipment, and medicine, upgrading health infrastructure, training medical personnel, and growing public awareness.
The second case was verified on 23 March 2020 in Kathmandu. As of 18 May 2020, a total of 375 cases have been confirmed, affecting 34 out of 77 administrative districts and 2 are death. The first case of local communication was confirmed on 4 April in Kailali. 36 patients have been confirmed recovered. A country-wide lockdown came into effect on 24 March and is scheduled to end on the 2nd of June. Nepal is suffering in many sectors due to this virus as per the analysis by the government, every sector of Nepalis economic shaving up to 0.13% off the gross domestic product and rendering to 15880 people jobless.
The consequence has already started in the number of sectors like trade, tourism, production, supply and hospitality sector, entire industries, and many more. With the launch of visit Nepal 2020 campaign in January, the country was hoping to welcome around 2million visitors but due to COVID 19 pandemic, the campaign got canceled which had a severe impact on the hospitality and tourism business sector. Now the rate has declined to below 10% from 70. Tourism is the largest industry that has been providing 8% of Nepal's economy. Due to this virus, all the spring mountaineering including Everest climbing’s has resulted in job loss of 13000 tour and trekking and mounting guides, it has influenced people's lives as well as private and public sectors. Even the impact has been also visible in the construction industries too.
The retail and wholesale sector is the other largest contributor to the economy after agriculture. The sector provides 14.37% which is already affected by the drastic downfall in imports from China following the outbreak of the disease. The increase rate of the virus has impacted remittance inflow and management revenue collection as the majority of the target countries winning for the outbound workers have declared lockdown. Imports have also started to decline as of late. In the current situation, coronavirus's effect on remittances is unfortunate. In these two months, the remittance source has been contributed less than 1% in the country's economy. The downturn in remittance has created a critical impact on the overall loss in the country. In the latest submission to the Ministry of Finance, Nepali start-ups say they will face high pressure if businesses do not improve within the next 4 to 6 weeks. Most of said they would be out of business.
The situation is dangerous. Although we are yet to feel full impact and consequence of the coronavirus, this worldwide warning has already created economic risk among all of us. People are disturbed as still, we don't know much about this dangerous virus and how deep and general the economic result will be.