Economic Collapse

Increasing Global Economic Collapse and Distress of Nations: ‘Complete collapse of economies’ ahead as Africa faces virus.

1 Thessalonians 5:3 For when they shall say, Peace and safety; then sudden destruction cometh upon them, as travail upon a woman with child; and they shall not escape.

Revelation 13:16-17 And he causeth all, both small and great, rich and poor, free and bond, to receive a mark in their right hand, or in their foreheads: And that no man might buy or sell, save he that had the mark, or the name of the beast, or the number of his name.

Increasing Global Economic Collapse and Distress of Nations: ‘Complete collapse of economies’ ahead as Africa faces virus.

Experts predict unprecedented damage to developing economies as governments struggle to ensure millions of newly jobless laborers and petty traders can survive lockdowns

By RODNEY MUHUMUZA Today, 1:26 pm. Times of Israel. April 5, 2020

KAMPALA, Uganda (AP) — Some of Uganda’s poorest people used to work here, on the streets of Kampala, as fruit sellers sitting on the pavement or as peddlers of everything from handkerchiefs to roasted peanuts.

Now they’re gone and no one knows when they will return, victims of a global economic crisis linked to the coronavirus that could wipe out jobs for millions across the African continent, many who live hand-to-mouth with zero savings.

“We’ve been through a lot on the continent. Ebola, yes, African governments took a hit, but we have not seen anything like this before,” Ahunna Eziakonwa, the United Nations Development Program regional director for Africa, told The Associated Press. “The African labor market is driven by imports and exports and with the lockdown everywhere in the world, it means basically that the economy is frozen in place.

“And with that, of course, all the jobs are gone.”

More than half of Africa’s 54 countries have imposed lockdowns, curfews, travel bans or other measures in a bid to prevent local transmission of the virus. They range from South Africa, where inequality and crime plague Africa’s most developed country, to places like Uganda, where the informal sector accounts for more than 50% of the country’s gross domestic product.

The deserted streets in downtown Kampala, Uganda’s capital, underscore the challenge facing authorities across the world’s poorest continent, home to 1.3 billion people: how to look after millions of people stuck at home for weeks or even months of lockdown.

With some governments saying they’re unable to offer direct support, the fate of Africa’s large informal sector could be a powerful example of what experts predict will be unprecedented damage to economies in the developing world. Among the millions made jobless are casual laborers, petty traders, street vendors, mechanics, taxi operators and conductors, housekeepers and waitresses, and dealers in everything from used clothes to construction hardware.

Unless the virus’s spread can be controlled, up to 50% of all projected job growth in Africa will be lost as aviation, services, exports, mining, agriculture and the informal sector all take a hit, Eziakonwa said.

“We will see a complete collapse of economies and livelihoods. Livelihoods will be wiped out in a way we have never seen before,” she warned.

The UN Economic Commission for Africa has said the pandemic could seriously dent already stagnant growth in many countries, with oil-exporting nations like Nigeria and Angola losing up to $65 billion in revenue as prices fall.

Economies in sub-Saharan Africa are seen as especially vulnerable because many are heavily indebted and some struggle just to implement their budgets under less stressful circumstances.

Now the continent might need up to $10.6 billion in unanticipated increases in health spending, and revenue losses could lead to debt becoming unsustainable, UNECA chief Vera Songwe said in March.

Urgent calls for an economic stimulus package have followed.

Ethiopian Prime Minister Abiy Ahmed has spoken of an “existential threat” to Africa’s economies while seeking up to $150 (5+5+5) billion from G20 nations. A meeting of African finance ministers agreed that the continent needs a stimulus package of up to $100 billion, including a waiver of up to $44 billion in interest payments.

South African President Cyril Ramaphosa backed the calls for a stimulus package, saying in a recent speech that the pandemic “will reverse the gains that many countries have made in recent years.” Several African nations have been among the fastest-growing in the world.

The International Monetary Fund on March 25 said it had received requests for emergency financing from close to 20 African countries, with requests from another 10 or more likely to follow. The IMF has since approved credit facilities for at least two West African nations — Guinea and Senegal — facing virus-related economic disruption.

Further challenges exist. Rampant corruption in many African countries feeds inequality, and poor or non-existent public services stoke public anger that sometimes escalates into street protests and deadly violence.

Measures to control the spread of COVID-19 could make that worse as people trapped at home go hungry.

UNECA has called for emergency actions to protect 30 (6×5) million jobs immediately at risk across Africa, particularly in the tourism and airline sectors, saying the continent will be hit harder than others with an economic toll that will exacerbate “current fragilities.”

After Ugandan President Yoweri Museveni announced that food markets could remain open under orders to decongest crowded areas, some fruit vendors were assaulted by armed men and had goods confiscated, drawing an apology from the army commander. Museveni later announced an effective lockdown, closing public transport and all but essential businesses.

“What am I going to eat if he stops us from working? Museveni cannot do that,” said Marius Kamusiime, who operates a passenger motorcycle. “We may have to go back to the village if this corona becomes serious.”

On a continent where extended families are common, some say, one job loss can spell doom for up to a dozen or more people.

“Sitting down is not an option because they don’t have money locked away,” said Eziakonwa, the UNDP official in charge of Africa.

Some governments such as Rwanda are distributing food to those who need it, but there are questions about sustainability.

“We do know what to do to bring the economy back to life. What we don’t know is how to bring back people to life,” said Ghanaian President Nana Akufo-Addo. He has created a virus alleviation fund to look after the neediest and has donated the equivalent of his salary for three months.

But many want to see more support, including tax relief that benefits a wider section of the urban poor.

In Kenya, President Uhuru Kenyatta has announced temporary tax relief to people described as low-income earners — those earning up to $240 in monthly wages — as well a reduction in the maximum income tax rate from 30% to 25%. He also gave $94 million to “vulnerable members of our society” to protect them from economic damage.

But other leaders say they cannot afford such benefits.

Noting that “the rich countries are unlocking staggering sums” to stimulate their economies, Benin’s President Patrice Talon said that his West African country, “like most African countries, does not have these means.”

Jesus Christ’s Offer of Salvation:

The ABCs of Salvation through Jesus Christ (the Lamb)

A. Admit/Acknowledge/Accept that you are sinner. Ask God’s forgiveness and repent of your sins.

. . . “For all have sinned, and come short of the glory of God.” (Romans 3:23).

. . . “As it is written, There is none righteous, no, not one.” (Romans 3:10).

. . . “If we say that we have no sin, we deceive ourselves, and the truth is not in us.” (1 John 1:8).

B. Believe Jesus is Lord. Believe that Jesus Christ is who He claimed to be; that He was both fully God and fully man and that we are saved through His death, burial, and resurrection. Put your trust in Him as your only hope of salvation. Become a son or daughter of God by receiving Christ.

. . . “That whosoever believeth in him should not perish, but have eternal life. For God so loved the world, that he gave his only begotten Son, that whosoever believeth in him should not perish, but have everlasting life. For God sent not his son into the world to condemn the world; but that the world through him might be saved. (John 3:15-17). For whosoever shall call upon the name of the Lord shall be saved.” (Romans 10:13).

C. Call upon His name, Confess with your heart and with your lips that Jesus is your Lord and Savior.

. . . “That if thou shalt confess with thy mouth the Lord Jesus, and shalt believe in thine heart that God hath raised him from the dead, thou shalt be saved. For with the heart man believeth unto righteousness; and with the mouth confession is made unto salvation.” (Romans 10:9-10).

. . . “If we say that we have no sin, we deceive ourselves, and the truth is not in us. If we confess our sins, he is faithful and just to forgive us our sins, and to cleanse us from all unrighteousness. If we say that we have not sinned, we make him a liar, and his word is not in us.” (John 1:8-10).

. . . “And he is the propitiation for our sins: and not for ours only, but also for the sins of the whole world. (John 2:2).

. . . “In this was manifested the love of god toward us, because that God sent his only begotten Son into the world, that we might live through him. And we have seen and do testify that the Father sent the Son to be the Saviour of the world. Whosoever shall confess that Jesus is the Son of God, God dwelleth in him, and he in God.” (1 John 4:9, 14-15).

. . . “But God commendeth his love toward us, in that, while we were yet sinners, Christ died for us. Much more then, being now justified by his blood, we shall be saved from wrath through him. For if, when we were enemies, we were reconciled to God by the death of his Son, much more, being reconciled, we shall be saved by his life.” (Romans 5:8-10).

. . . “For the wages of sin is death; but the gift of God is eternal life through Jesus Christ our Lord.” (Romans 6:23).

. . . “Jesus saith unto them, I am the way, the truth, and the life, no man cometh unto the Father, but by me.” (John 14:6).

. . . “For I am not ashamed of the gospel of Christ: for it is the power of God unto salvation to everyone that believeth.” (Romans 1:16).

. . . “Neither is there salvation in any other: for there is none other name under heaven given among men, whereby we must be saved.” (Acts: 4:12).

. . . “Who will have all men to be saved, and to come unto the knowledge of the truth for there is one God, and one mediator between God and men, the man Christ Jesus.” (1 Timothy 2:4-6).

. . . “For God did not appoint us to suffer wrath but to receive salvation through our Lord Jesus Christ.” (1 Thessalonians 5:9).

. . . “But as many as received him, to them gave the power to become the sons of God, even to them that believe on his name.” (John 1:12).

True Church / Bride of Christ Spared from God’s Wrath:

 Romans 5:8-10. “But God commendeth his love toward us, in that, while we were yet sinners, Christ died for us. Much more then, being now justified by his blood, we shall be saved from wrath through him. For if, when we were enemies, we were reconciled to God by the death of his Son, much more, being reconciled, we shall be saved by his life.”

Romans 12:19Dearly beloved, avenge not yourselves, but rather give place unto wrath: for it is written, Vengeance is mine; I will repay, saith the Lord.

1 Thessalonians 1:10. And to wait for his Son from heaven, whom he raised from the dead, even Jesus, which delivered us from the wrath to come.

1 Thessalonians 5:9. For God hath not appointed us to wrath, but to obtain salvation by our Lord Jesus Christ,

Romans 8:35. Who shall separate us from the love of Christ? shall tribulation, or distress, or persecution, or famine, or nakedness, or peril, or sword?

Jeremiah 30:7. Alas! for that day is great, so that none is like it: it is even the time of Jacob’s trouble, but he shall be saved out of it.

Revelation 3:10 Because thou hast kept the word of my patience, I also will keep thee from the hour of temptation, which shall come upon all the world, to try them that dwell upon the earth.

Categories: Economic Collapse

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