ADB triples COVID-19 response package to $20 billion

News Network
April 13, 2020

Manila, Apr 13: The Asian Development Bank (ADB) on Monday tripled the size of its response to novel coronavirus disease (COVID-19) pandemic to 20 billion dollars and approved measures to streamline its operations for quicker and more flexible delivery of assistance.

The package expands ADB's 6.5 billion dollars initial response announced on March 18, adding 13.5 billion dollars in resources to help ADB's developing member countries counter the severe macroeconomic and health impacts caused by COVID-19.

The 20 billion dollar package includes about 2.5 billion dollars in concessional and grant resources.

"This pandemic threatens to severely set back economic, social, and development gains in Asia and the Pacific, reverse progress on poverty reduction and throw economies into recession," said ADB President Masatsugu Asakawa.

"Our expanded and comprehensive package of assistance, made possible with the strong support of our board, will be delivered more quickly, flexibly and forcefully to the governments and the private sector in our developing member countries to help them address the urgent challenges in tackling the pandemic and economic downturn," he said in a statement.

ADB's most recent assessment released on April 3 estimates the global impact of the pandemic at between 2.3 and 4.8 per cent of gross domestic product. Regional growth is forecast to decline from 5.2 per cent last year to 2.2 per cent in 2020.

The new package includes the establishment of a COVID-19 pandemic response option under ADB's countercyclical support facility.

Up to 13 billion dollars will be provided through this new option to help governments of developing member countries implement effective countercyclical expenditure programs to mitigate impacts of the COVID-19 pandemic, with a particular focus on the poor and the vulnerable.

Grant resources will continue to be deployed quickly for providing medical and personal protective equipment and supplies from expanded procurement sources.

Some 2 billion dollars from the 20 billion dollar package will be made available for the private sector. Loans and guarantees will be provided to financial institutions to rejuvenate trade and supply chains.

Enhanced microfinance loan and guarantee support and a facility to help liquidity-starved small and medium-sized enterprises, including those run by female entrepreneurs, will be implemented alongside direct financing of companies responding to or impacted by COVID-19.

The response package includes a number of adjustments to policies and business processes that will allow ADB to respond more rapidly and flexibly to the crisis. These include measures to streamline internal business processes, widen the eligibility and scope of various support facilities and make the terms and conditions of lending more tailored.

All support under the expanded package will be provided in close collaboration with international organisations, including the International Monetary Fund, World Bank Group, World Health Organisation, UNICEF, other UN agencies and the broader global community.

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Agencies
May 26,2020

UN, May 26: Countries could see a "second peak" of coronavirus cases during the first wave of the pandemic if lockdown restrictions were lifted too soon, the World Health Organization (WHO) has warned.

Mike Ryan, the WHO's head of emergencies, told a briefing on Monday that the world was "right in the middle of the first wave", the BBC reported.

He said because the disease was "still on the way up", countries need to be aware that "the disease can jump up at any time".

"We cannot make assumptions that just because the disease is on the way down now that it's going to keep going down," Ryan said.

There would be a number of months to prepare for a second peak, he added.

The stark warning comes as countries around the world start to gradually ease lockdown restrictions, allowing shops to reopen and larger groups of people to gather.

Experts have said that without a vaccine to give people immunity, infections could increase again when social-distancing measures are relaxed.

Ryan said countries where cases are declining should be using this time to develop effective trace-and-test regimes to "ensure that we continue on a downwards trajectory and we don't have an immediate second peak".

Also on Monday, Tedros Adhanom Ghebreyesus, WHO Director-General, said that a clinical trial of hydroxychloroquine (HCQ) on COVID-19 patients has come to "a temporary pause", while the safety data of the the anti-malaria drug was being reviewed.

According to the WHO chief, The Lancet medical journal on May 22 had published an observational study on HCQ and chloroquine and its effects on COVID-19 patients that have been hospitalized, reports Xinhua news agency.

The authors of the study reported that among patients receiving the drug, when used alone or with a macrolide, they estimated a higher mortality rate.

"The Executive Group of the Solidarity Trial, representing 10 of the participating countries, met on Saturday (May 23) and has agreed to review a comprehensive analysis and critical appraisal of all evidence available globally," Tedros said in a virtual press conference.

The developments come as the total number of global COVID-19 cases has increased to 5,508,904, with 346,508 deaths, according to the Johns Hopkins University.

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News Network
April 16,2020

Brussels/Amsterdam, Apr 16: As the novel coronavirus continues to wreak havoc in the western world since its outbreak in Wuhan last December, researchers believe that the Chinese leadership is trying to absolve President Xi Jinping by using a section of the western media to influence public opinion globally.

"There are clear indications that China is conducting activities in a persistent and systematic manner to influence public opinion-making, academia, think tanks and political decision-making among the member states of the Belt and Road Initiative (BRI) in general and western capital cities in particular," Siegfried O Wolf, Director of Research at Brussels-based think tank South Asia Democratic Front, said.

Some western media say some Chinese officials were secretly aware that they were facing a pandemic from the new coronavirus but allowed Wuhan to host a mass banquet for tens of thousands of people and millions began their annual trip home for the Lunar New Year celebrations.

The pandemic has since then affected 210 countries and territories around the world. Over 2 million people have been declared positive in which over 134,000 lost their lives.

"The frequency and extra-ordinary large scale of Chinese sponsored events in European political hubs, like in Brussels, and the subsequent media coverage can be seen as evidence for Beijing's public diplomacy efforts. However, the rising skepticism within the EU regarding Xi Jinping's development projects and the emerging questioning of Chinese sources funding Free Universities, like the one in Berlin, shows that this strategy produced mixed results so far," Wolf said.

He added, "However, one must also state that these efforts helped China to gain certain leverage among many non-Chinese media, western as well as non-western ones. Today, we can observe that China's political leadership tries to instrumentalise this influence for a major image campaign to distract from the fact that it carries the initial responsibility for the dramatic spread of COVID-19 by holding back key information."

Wolf also said that the current internal dynamics in China, like the shirking of responsibilities by the local authorities, are most-likely part of a twofold strategy. Firstly, there is the strategic component - namely, to reaffirm to the general public that the Communist Party of China is still in full control of the situation. The second strategic pillar is one of 'whitewashing'.

"Concretely, Beijing's obvious aim is to distract the domestic and international attention from the real, but hidden causes of the Coronavirus outbreak and its potential reputational and political consequences for Xi Jinping and his BRI," he stated.

Yoana Barakova, a Research Analyst at European Foundation for South Asian Studies (EFSAS), an Amsterdam-based think-tank, said, "The death of Dr. Li Wenliang, one of the very few medical professionals who tried to warn the world in December 2019 about the looming threat, sparked widespread condemnation around the international community in early February. Yet, little did he know that his legacy would continue much later after his demise, with the emboldened Chinese government trying to cover up its missteps through hardcore censorship after being exposed for undermining and underestimating the initial danger."

The researchers believe that the deterioration in press freedom under Jinping's regime has become more evident in recent days, with local authorities trying to control the state narrative by cosmetically placing media's focus on government's superficial attempts to tackle the crisis.

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Agencies
March 1,2020

Washington, Mar 1: Beginning April 1, Indians wishing to immigrate to America will now have to pay an additional $50,000 for the EB-5 or the US investor visa, a media report said.

Although, this additional tax would impact all visa categories, it will predominantly create a barrier for people investing in the EB-5 visa programme, the American Bazaar daily said in the report on Friday.

In 2019, the EB-5 investor visa programme, for the first time since the 1990's, increased the minimum investment amount to $900,000.

With this increase in minimum investment, the new 5 per cent additional tax would mean that applicants would have to pay the extra $50,000, when they move money to an escrow account in the US to fulfil their application criterion.

"The changes to the tax on remittances is a reminder to Indians to carefully plan their tax position before making the move to the US," the American Bazaar quoted Mark Davies, Global Chairman, Davies & Associates LLC, as saying.

"People seeking to emigrate who do not wish to pay this tax at source and rather account for it later may wish to move their money ahead of the new rules coming into effect.

"It is possible to pre-emptively move money into an escrow account in the US until such a time as they are ready to proceed with emigration process," he added.

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