KUALA LUMPUR: It is crucial for Malaysia to contain the spread of the Covid-19 pandemic in the next few weeks to minimise its impact on the economy.
A total economic lockdown should be the last resort, said Putra Business School business development manager Assoc Prof Dr Ahmed Razman Abdul Latiff.
“There will be major repercussions on the economy, as there will be less liquidity in the market due to fewer transactions among businesses and the people.”
In an interview on Bernama TV’s Midday Update programme yesterday, he noted that the government has to walk a fine line between addressing the health crisis and sustaining and ensuring positive economic growth this year.
“I still feel that there is room in terms of the Ministry of Health’s capacity to deal with the rising Covid-19 cases.”
He said the continuous allocation of fiscal stimulus for targeted segments would help cushion the impact of economic slowdown due to the coronavirus outbreak.
“We would like to have a V-shaped economic recovery (for 2021), but with the rising number of new Covid-19 cases every day, it is going to look like a U-shaped recovery.”
