The cancellation of the Olympics will cost Japan billions of dollars

Cancel the summer Olympic Games in 2020 in Tokyo will cost the Japanese economy of around 7.8 trillion yen ($74,2 bn at the current rate), reports the Agency Kyodo.

According to the Japanese Finance company Nikko Securities, the cancellation of the Olympics due to the threat of the spread of coronavirus reduce the growth of gross domestic product by 1.4% yoy. The income of Japanese corporations in 2020 will fall by 24.4%, according to Nikko Securities.

the Japanese company are sure that Games will be cancelled in the case that the spread of the coronavirus will not be able to completely stop in July of this year. Japan’s GDP in 2019 amounted to approximately $5.15 billion.

At the moment the number of people infected by coronavirus in Japan exceeded 1 million people, 12 died. Among those infected, the majority (696 people) have on passengers and members of the team of the cruise liner Diamond Princess, notes TASS.