The current outbreak of COVID-19 has put an impact on the Indian economy, recently an industry survey that is jointly conducted by industry body Ficci and tax consultancy Dhruva advisors and took responses from about 380 companies across the sectors. It is said that businesses are grappling with "tremendous uncertainty" about their future.
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According to the survey, the COVID-19 Coronavirus outbreak is having a 'deep impact' on Indian businesses, COVID-19 crisis has caused an unprecedented collapse in economic activities over the last few weeks.
The present situation is having a "high to very high" level impact on their business consistent with almost 72 per cent of respondents. Further, 70 per cent of the surveyed firms expects a de-growth sale in the fiscal year 2020-21.
According to Du & Bradstreet, COVID-19 no doubt disrupted human lives and the global supply chain but the pandemic may be a severe demand shock that has offset the green shoots of recovery of the Indian economy that was visible at the end of 2019 and early 2020. Further, it is stated that the extent of the actual impact will depend upon the severity and duration of the outbreak.
There are three major channels of impact for Indian businesses consistent with the report namely linkages, supply chain and macroeconomic factors. The data shows that at least 6,606 Indian entities have legal linkages with companies in countries with a large number of confirmed COVID-19 cases. Due to this higher rate of COVID-19 cases business activity in the foreign markets is slow which implies a negative impact on the growth of these companies. Sectors that would be much affected include logistics, auto, tourism, metals, drugs, pharmaceuticals, electronic goods, MSMEs and retail among others.
Further, according to the World Bank's assessment, India is expected to grow at a rate of 1.5 per cent to 2.8 per cent. And IMF projected a GDP growth of 1.9 per cent for India in 2020 because the worldwide economy is suffering from the COVID pandemic, the worst recession since the Great Depression in the 1930s. Also, we can't ignore that the lockdown due to the COVID-19 coronavirus pandemic hit several sectors including MSME, hospitality, civil aviation, agriculture and the allied sector.
How To Build An Atmanirbhar Bharat/ Self-Reliant India
Prime Minister Sir stated that the Atma nirbhar Bharat Abhiyan package will help to revive and make self-reliant every sector of the Indian economy including the demand and supply chain and the manufacturing sector. This Rs 20 lakh crore package will form the path for the revival of the Indian economy, which will, in turn, play a major role in making India self-reliant.
While urging people to be ‘vocal about local’, in order to make people of India self-reliant Prime Minister Sir said that the special economic package will aim to bring relief to all those who have worked hard day and night for the nation including the labourers and farmers and the hardworking Indian taxpayers-the middle class and the industry, which has contributed significantly to India’s growth.
Be vocal for the Local: According to PM Modi, one of the key ways to build an Atmanirbhar Bharat is to buy and promote local products and brands and be 'vocal for the local'. He highlighted that global brands that are existing today were also local once but when people began supporting them, they became global and popular.
The Atmanirbhar Bharat Abhiyan economic package is expected to revive the economy of the country which is suffered the most during the lockdown imposed due to the coronavirus pandemic. It is also expected to support the middle class who pay their taxes on time and help grow the home industry including cottage industries, small-scale industries and MSMEs that provide livelihood to crores of people.
In 19’s when India was under British Rule Mahatma Gandhi Ji also started The Swadeshi Movement, now known as the 'Make in India' campaign was officially proclaimed on August 7, 1905. The Boycott movement was also launched with the Swadeshi movement. They were very significant instruments of social change, in Mahatma Gandhi Ji’s view, they were precepts and practices of Swadeshi, implying self-reliance and self-sufficiency at the level of the individual, the village and the nation. These movements included using goods produced in India and burning British-made goods which later ignited the fire of Independence among people.
By following the swadeshi principle again, the nation’s confidence and prosperity could be assured and we can become self-sustainable. This will latter help to fight economic issues, poverty, recession and so many issues that will occur due to this Pandemic COVID-19
This portion of the site is for informational purposes only. The content is not legal advice. The statements and opinions are the expression of author, not corpseed, and have not been evaluated by corpseed for accuracy, completeness, or changes in the law.
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