▲ Tokyo, Japan
When the coronavirus infection-19 (corona19) spreads and an emergency is declared throughout Japan, it is predicted that the Japanese economy will be 1.5 times more shocked than the Lehman Brothers bankruptcy in 2008.
Katsuhiro Miyamoto, an emeritus professor at Kansai University in Japan (theoretical economics), estimates that if an emergency caused by the Corona 19 is issued across the Japanese archipelago, the amount of economic loss will reach about 63 trillion yen (about 717 trillion 81 billion won) over two years. The Mainichi Shimbun reported today (4th).
Emeritus Professor Miyamoto predicts that if an emergency is declared all over Japan, the economic impact will be about 1.5 times that of Lehman, and this is done considering the current level of gross domestic product (GDP).
He estimated that Lehman had lost about 7.6% of Japan's GDP in two years.
Japan's nominal GDP last year is around 554 trillion yen.
When an emergency is issued only to the capital city of Tokyo, the amount of loss is about 11.3 trillion yen (about 128.67 trillion won), an emeritus professor Miyamoto estimated.
Major Japanese companies are preparing for an unprecedented impact.
ANA Holdings, which operates airlines such as All Nippon Airways (ANA) and Peach Aviation, finances a total of 1.3 trillion yen (approximately 14.83 trillion won) to Japanese policy investment banks (DBJ) and private financial companies, which are policy financial institutions. Japanese media reported that they were found to have asked for a guarantee.
ANA Holdings drastically reduced its flight operations with the spread of Corona 19, and started to secure funds because it expected management difficulties to continue for the next year or so.
Prior to this, Toyota Motors prepared for countermeasures against the deterioration of liquidity by large companies, such as requesting Mitsui Sumitomo Bank and Mitsubishi UFJ Bank to secure loans within the limit of 500 billion yen and 1 trillion yen in total (approximately 11 trillion 870 billion won). Hurrying.
Japan's largest steelmaker, Japan Steel, has begun working on reducing the number of working days, as demand has plummeted, as eight major Japanese automakers have decided to suspend production in whole or in part.
According to NHK, Japan Steel is in discussions with unions about about 30,000 people, 30% of all employees, to rest for about two days a month.
Japan Steel is considering a method of preserving wage reductions as a leave allowance for the employment adjustment subsidy, which is part of employment insurance.
SMEs seeking loans from financial institutions are also rushing to apply for credit guarantees.
In the case of Minato-ku, Tokyo, the Tokyo newspaper reported that the interview reservation required for credit guarantees was full for the next two months.
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