China was growing at an exponential rate before the Coronavirus pandemic. Now, the growth has stagnated. It just shows that once we move out of this pandemic, global leaders need to do a lot more to start the cogs of the global economy working again.
Officials of China mentioned that their economy shrank by about 6.8% in the first 3 months of 2020. China had faced many problems like the SARS epidemic, the Tiananmen Square crackdown, and a global recession, but this is the first time that something like this had taken place. China, as a developing country, has been a model of inspiration for all other developing countries. Despite its population, it had successfully been able to take out many people from abject poverty.
Now, China has to restart a huge 14 trillion dollar economy. Help is not at hand with major economies of the world like Europe and the USA struggling with the pandemic as well. It means the economy will keep on shrinking even further, mimicking something worse than the financial crisis.
Even though China is starting to come back on its feet, this global recession is going to make it difficult for China to catch up. Shutdowns of factories and the fall of income is also making family life difficult.
The year has been difficult as per many Chinese businesses.