Econovirus: Concept, sources, effects and solutions

Perhaps, it may or may not get through the dictionary as so far, we have not read from any other source but simply coined to signify some discussions on the subject matter of interest. Econovirus as a concept means a situation whereby an Economic system is adversely affected by the hazard of a killer disease […]

Perhaps, it may or may not get through the dictionary as so far, we have not read from any other source but simply coined to signify some discussions on the subject matter of interest. Econovirus as a concept means a situation whereby an Economic system is adversely affected by the hazard of a killer disease called Conorovirus or COVID-19 as defined by the World Health Organization (WHO) which emerged from the Chinese city of Wuhan in December, 2019.

As stated earlier, the disease started from China in December 2019. But the question is that what is the source or cause of the disease? Some, as usual begin to attribute the epidemic with the ongoing North-South divide and the rising tension and competition in economic and military space between world super powers. But, the matter is not as such because even if created artificially it cannot make impact save with the permission of Allah. Allah says “And you cannot will unless (it be) that Allah wills-The Lord of the Universe. (Q:82:29). Clearly stated in the Quran “…but whatever of evil befalls you, is from yourself” [an-Nisa’ 4:79. In another verse Allah says “And whatever of misfortune befalls you, it is because of what your hands have earned. And He pardons much” [ash-Shoora 42:30]. Albeit, to some, it may be a trial to wipe off their sins or even take them as martyrdoms.

For instance one of the major sins humanity involves is dealing with Riba in economic and financial system despite the warning not to do it. Allah says “Those who eat Riba will not stand (on the Day of Resurrection) except like the standing of a person beaten by shaitan leading him to insanity. That is because they say trading is only like Riba, whereas Allah has permitted trading and forbidden Riba. So whosoever receives an admonition from his Lord and stops eating Riba, shall not be punished for the past; his case is for Allah (to judge); but whoever returns to Riba, such are the dwellers of the Fire.” He also says “Allah will destroy Riba and will give increase for sadaqat (alms, charity) and Allah likes not the disbelievers and sinners. O you who believe! Be afraid of Allah and give up what remains (due to you) from Riba, if you are (really) believers. And if you do not do it, then take a notice of war from Allah and His messenger but if you repent, you shall have your capital sums. Deal not unjustly and you shall not be dealt with unjustly (Q:2:275-279).

Regarding the likely effects, though too numerous to mention we can categorise them into short term, medium term and long term effect as follows:

Short Term: Already there are various research and leading health and financial institutions that have supplied data on the immediate effects of the virus on various aspects of human life and global economy so far at 25th March, 2020:

1. A) Over 436,000 people have been affected by the disease in 110 countries (WHO)
2. B) Over 19,6000 lives have been lost in more tan 180 countries
3. C) Cut of supply of finished goods and raw materials within countries and internationally
4. D) Less demand for energy globally
5. E) Drop of oil prices by almost half, from $60USD to almost $30USD.
6. F) 100 percent flight cancellations by major airlines
7. G) Increased borrowing to supplement budget and fight the virus
8. H) Total or partial lockdown of many countries

Medium Term:

1. A) Possible loss of jobs in mega industries and supply chain sectors
2. B) Cutting salaries and wages
3. A) Rigid labor mobility
4. C) Fall in consumer spending
5. D) Shrinking of global economy
6. E) Innovation in some sectors to meet up with the challenge of short supply

Long Term Effects

1. B) Sluggish growth in the new decade
2. C) Diversification of some economies
3. D) Increased in demand for Health Insurance
4. E) Other effects can be positive or negative, depending on the policy in place

Potential Solutions

Of course, health wise there are various solutions offered. These include, restricting travelling, limiting exposure to the environment, constant hand wash by all, cleanliness and relevant drugs. All these are material solutions but relevant. In addition to this, there is non material aspects such as shunning away from dealing with Riba, seeking forgiveness from Allah always, ensuring justice and fairness among people, reciting the Prophetic dua for protection against any killer diseases, giving charities among others. Some of these dua are reported as:

“Oh Allah, I seek your refuge from leprosy, insanity, mutilation and all serious illness.” And “I seek refuge from the perfect words of Allah from evil of what he has created.”

Conclusion

Econovirus is a temporary undesirable economic and health phenomenon, albeit with devastating effect on the global economy and the environment. Its causes are beyond materialistic tendencies and its emergence exposes the weaknesses in global advancement in science and technology especially the so called developed nations. Only the will of Allah can cease this phenomenon from continuous spread and washing away substantial part of humanity. Let us avoid economic sins such as injustice and dealing with Riba among others and pray for the best. May Allah protect us all.

Dr. Aliyu Dahiru Muhammad, International Institute of Islamic Banking and Finance, BUK, Kano

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