Wuhan virus

As a result of the virus, Maybank Kim Eng has revised its 2020 GDP growth forecast to 1.1% from the previous 1.8% , while OCBC has widened its 1-2% GDP growth forecast to 0-2%.

If the virus spreads to the broader community, Singapore says it is ready to take additional measures, including cancelling mass gatherings, suspending schools and limiting non-essential care services.

While the political stakes are high everywhere, the impact can be more immediate in countries with governments facing elections.

“The recent collapse in the share price due to the uncertainty caused by the Novel Coronavirus presents a good entry price, in our opinion,” says Phillip Securities Research analyst Natalie Ong.

The coronavirus is likely to hurt Singapore’s further economic growth this year. Already, the city state in 2019 had recorded its lowest growth rate in a decade.

The coronavirus outbreak continues to wreak havoc on investor confidence.

The likely closing of casinos comes as the entire region has been nearly shut off to travel, depriving the gambling centre access to its biggest customers.

Notably, the researchers’ estimated fatality rate for the Wuhan coronavirus is significantly higher than the commonly quoted 2% death rate.

This comes as Singapore recently initiated a travel ban on all China passport holders and foreigners who have visited China in the past 14 days.

“It’s impossible to predict how this disease will develop. Even the experts have no clear idea when the outbreak will end, let alone stock traders,” said Li Shuwei, chairman at Beijing WanDeFu Investment Management Co.