Covid-19: Economic Hardship and Financial Distress in Indian Economy

Abstract

As per the reports of the Union Nations Conference on Trade and Development (UNTCAD), the economy of developing countries like India and China would face fewer instances of recession. There is an urgent need to accumulate recourses to accelerate the rate of growth of the economy. COVID-19 is surely going to affect all the sectors of the economy, but the rate of impact is something that can be seen shortly. The government is framing fiscal and monetary policies keeping in view the challenges faced by people across the nation. Banking institutions are working to overcome the financial crunch faced by the economy by framing policies such as lower rates of interest on loans, subsidy to the health sector, etc. The paper accompanies the key recommendations taken up by important sectors of the economy and some instances of what will happen beyond COVID-19 in the future. It has been viewed that even after COVID-19 people will prefer to have less outside food and maintain hygiene in every place of work and they will continue to wear masks and wash hands to stay healthy. It is also expected that there will be lesser public gatherings as people will shift to the digital world and they will adopt a healthy lifestyle to increase immunity that will help them to fight any virus in the future.