New Covid variant triggers global alarm, stock markets tumble

Hours after Britain banned flights from South Africa and neighbouring countries and asked travellers returning from there to quarantine, the World Health Organization (WHO) cautioned against hasty travel bans.

"It's really important that there are no knee-jerk responses here," said the WHO's emergencies director Mike Ryan, praising South Africa's public health institutions for picking up the new variant of the virus that causes COVID-19.

"Because we've seen in the past, the minute that there is any mention of any kind of variation, then everyone is closing borders and restricting travel."

 The WHO said it would take weeks to determine how effective vaccines were against the variant. read more

South Africa's Health Minister Joe Phaahla called the travel restrictions "unjustified", though he also said preliminary studies suggested the new variant may be more transmissible.

European Commission chief Ursula von der Leyen said the EU also aimed to halt air travel from the region. Several other countries including India, Japan and Israel toughened curbs. read more

"It is now important that all of us in Europe act very swiftly, decisively and united," von der Leyen said. "All air travel to these countries should be suspended until we have a clearer understanding about the danger posed by this new variant."

In Washington, top U.S. infectious disease official Anthony Fauci said no decision had been made on a possible U.S. travel ban. There was no indication that the variant was in the United States, and it was unclear whether it was resistant to current vaccines, he told CNN. read more

The news nonetheless pummelled global stocks and oil, which plunged 10%, on fears that new restrictions would hit the travel industry and already shaky economies across southern Africa. read more

'MOST SIGNIFICANT VARIANT'

The variant has a spike protein that is dramatically different to the one in the original coronavirus that vaccines are based on, the UK Health Security Agency said, raising fears about how current vaccines will fare.

"As scientists have described, (this is) the most significant variant they've encountered to date," British Transport Secretary Grant Shapps told Sky News.

In Geneva the WHO - whose experts on Friday discussed the risks that the variant, called B.1.1.529, presents - warned against travel curbs for now. read more

It would take several weeks to determine the variant's transmissibility and the effectiveness of vaccines, WHO spokesperson Christian Lindmeier said, noting that 100 sequences of it had been reported so far.

British health minister Sajid Javid said the sequence of the variant was first uploaded by Hong Kong from someone travelling from South Africa.

"It is highly likely that it has now spread to other countries," Javid told lawmakers.

SOURCE: REUTERS