Asian Insider, March 6: Covid-19’s fallout, Muhyiddin’s focus, Korean Air’s ‘nut rage’ heiress

Hi,

Coronavirus fears abound and WHO warns there's a long list of countries not doing enough, Malaysia's new PM plays it calm, spotlight on women, Korean Air's 'nut rage' heiress attempts a takeover and more.

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Asian shares fell today following another Wall Street rout as fears of further disruptions to business continued to spread, stoking fears of a prolonged world economic slowdown. Japan's Nikkei stock index sank 2.8 per cent, while South Korea's Kospi index tumbled 2.3 per cent.

This came on a day the Asian Development Bank announced that the outbreak is set to impact global growth rate. The Bank said the impact of the coronavirus could slash global gross domestic product by 0.1 to 0.4 per cent. In China, economic growth could be trimmed by 0.3 to 1.7 per cent while in developing Asia, excluding China, it could be slashed by 0.2 to 0.5 per cent.

The grim news was supported by the S&P Global ratings too which said the battle against Covid-19 could wipe off US$211 billion (S$291.8 billion) off Asia Pacific economies this year, sending growth to its lowest level in more than a decade.

Chinese President Xi Jinping was due to travel to Japan to meet Prime Minister Shinzo Abe, in a trip that would have been the first of its kind in a decade. However, China announced that the trip will be postponed with both countries battling coronavirus.

The announcement comes just after China decided to postpone its annual Parliament session for the first time since the Cultural Revolution. The meeting was due to be held in March.

Associate Editor Ravi Velloor writes this would put additional pressure on Mr Abe with his government already facing criticism as the number of infections surpass 1,000, with 12 people dead. There are also questions about whether Japan will be able to host the Olympics as per original schedule.

It could get worse. The World Health Organisation (WHO) warned on Thursday that there were too many countries not taking all the steps needed to fight the spread of the deadly new coronavirus. "This is not a drill," WHO chief Tedros Adhanom Ghebreyesus told reporters in Geneva.

Many governments were relegating the problem to their health ministries. But heads of government need to take charge. "This is a time for pulling out all stops," he said.

WHO has been relentless in calling on all countries to attach the utmost importance to the issue. Here are some recent reports:

Many of the political questions about whether he will be able to prove his support in Parliament remain unanswered and some members who've said they would support him are getting somewhat restless about how they could gain in return. But Malaysia's new Prime Minister seems unflustered and is focusing on building his administration first - with the country facing twin threats of a slowing economy and the spread of coronavirus.

Can women do better? As the International Women's Day nears this Sunday (March 8), the spotlight is turning to how well they are faring compared to men in society. While no doubt their status has improved over the years, there's still a long way to go. Two recent reports highlight this:

KOREAN AIR'S 'NUT RAGE' HEIRESS LEADS COUP: After earning global infamy in what became known as the "nut rage" incident, heiress Heather Cho is reportedly engineering a shareholder revolt against her brother who is the CEO of one of South Korea's biggest conglomerates.

PAKISTAN BUILDING COLLAPSE KILLS 11: At least 11 people were killed and 22 others wounded when a five-storey residential complex collapsed in Pakistan's port city of Karachi on Thursday, leaving additional victims trapped in the rubble.

That's it for today. Thanks for reading and we'll be back with you on Monday. Stay safe and have a good weekend.

Shefali