That is why unemployment is rising in China

That is why unemployment is rising in China

During the Corona period, the unemployment rate in China in February 2020 was 6.2 percent. Although it has returned to normal, China has returned to normal in April this year.

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Unemployment rate is increasing day by day in China. According to April estimates, China's unemployment rate rose to 6.1 percent.

The lockdown has been going on for the past six weeks in the Chinese business city of Shanghai. This has closed almost all types of corporate organizations in the country. A critical number of individuals have lost their positions. 

Recently, Chinese Premier Li Keqiang said, "Currently, the country's unemployment rate is getting worse day by day. However, we want to keep the unemployment rate below 5 percent. However, it is not possible due to the lockdown.

Read More: Shanghai: China reports three dead in most recent Covid flare-up

Meanwhile, the country's manufacturing statistics show that China's industrial output rose 5 percent in March. But in April it dropped to about 3 percent.

Meanwhile, the country's retail sales fell 11.1 percent. This has created a big crisis.

Economists say China could turn around in May. To this end, the government and the central bank are working together. However, China's 'Zero Covid Policy' on corona is able to cope with the epidemic but is crippling the overall economy.

Tommy Wei, chief Chinese economist at Oxford Economics, said: "The lifting of the lockdown from Shanghai will bring about a major change in the Chinese economy in the second half of the year. Although it is not possible to say anything right now. The prediction could change at any time due to the outbreak of corona and imposition of lockdown. '

Shanghai Deputy Mayor Jung Ming said, "We will lift the lockdown in stages. We will try to reduce the infection and return to normal by May 21. We want to start normal operations from June. "

The train schedule has been changed from Monday (May 16) as part of a slow exit from the lockdown. Multiple trains leave Shanghai for specific destinations. In addition, the number of domestic flights has been increased at the airport. The country's bus service will be resumed from May 22, the deputy mayor said. However, in this case, passengers will have to travel with a Corona Negative Certificate, the provincial government said.

Source: BBC