The economy affected a lot by this pandemic because all the economic works are shut but now every country started thinking that they should start economic activities and put less restrictions due to this pandemic many people lost their job they don’t have money to fulfill their daily needs .the report by IMF said that the economy will go in negative because of this heavy crisis due to which the growth rate of GDP decreases so that poverty in our country increases due to pandemic the demand for natural gas and oil decreases the most affected sectors are travel and tourism loss of 8500 crore done because of the restrictions imposed on foreign tourist also entertainment industry also facing loss of 250 crore between march and may because they have postpone all their shooting plans the automotive industry also affected a lot by this pandemic because the materials which is required for manufacturing are imported from china and Germany so the production rate is decreases. FMCG [fast moving consumer goods ] majority of supply chain is disrupted production is not smooth because of the lower demand. Factories themselves couldn’t work in full capacity the pharma sector is working smoothly because the demand increases as we all aware that India started making a lot of masks and sanitizers so the demand increases also India exports a lot of pharma products but the raw materials coming from china so this is also a big problem .So the government decided take several steps for maintaining the economic growth and announced some packages the first one i discussed here is the package which is given to MSMEs as we all aware that the MSME are more affected by this lock down due to which most of the enterprises shut for forever and people lost their job so the government decided to help them so those msmes who have taken loan of 25 crore the government decided to give collateral free loan the tenure of the loan is 4 years. this is one of the step taken by government so this will help the companies to start their company again and started working on it and also there are so many other decisions taken by government and also the government focusing on making India self -reliant because if people use more products of our country then the demand increases so the rate of production is also increases so more employment are generated the standard of living increases so it is beneficial for our country as well as other countries. so we can say that the economy is not going well in coming months but after sometime it will become well if everything goes in favor . this lock down gives a lot of negative effect to our GDP growth now people realize that they have to live with corona virus because they don’t know how much time require for making vaccine so they started living life with taking care of themselves.it is very much important for everyone that they follow every guidelines and take care of themselves and do their work carefully.
Tag: restore the economy
Businesses that are majorly affected!!!
In the pandemic situation where the world seeks a miracle of vaccines, there are many business that came to halt or even they are going to be shut soon. Currently the major task of ours is to stop the spreading of corona virus. It is wisely said “If there is Health there is Wealth”. First we need to cope up with the pandemic situation and then business can be again built, if we stay alive.
CNBC Global CFO survey says that 40% of the business are facing the problem in transportation of the goods and it is expected that it would take more 5-6 months to start and run normally (25% of them said 6 months and other would take a long than that).
“Nobody knows. The economic issues are totally driven by public health issues. You tell me how long we will be at home and I will tell you how long it will take for the economy and supply chains to recover.”
-words of Yossi Sheffi, Professor at Massachusetts Institute of Technology and the director of the MIT Center for Transportation and Logistics. Yossi Sheffi further says, if we want to build our business again as soon as possible than there is only one way out to do this and that is to join the war again corona virus and defeat it as early as possible, this epic war is started by many of the companies with their different types of help they can provide, like wise:
- Auto manufacturers like Tesla and GM motors are providing ventilators to the hospital.
(Image source: LosAngelesTimes)
- Apple and Facebook are the largest in supplying protective mask in the U.S.
- HanesBrands in contract with US federal government has decided to make cotton mask when the use of N-95 mask will be minimum. They decided to make 1.5 million mask weekly, and further if needed can go upto 5-6 million mask per week.
The supply chain is completely disturb there is over manufacturing as there is no one to load and unload the trucks. Border shipping is still allowed but shipping through overseas it still a major concern. There will be also huge disturb in supply chain of for pre-planned Indian weddings, as now weddings are postponed or might be done in simple way, the business related to it like party plots, wedding photographers, ca tress, decorators, wedding materials, transportation, apparels and even small-small business related to it. A single event covers many business so all the business are affected largely.
The business of theater and restaurant are also at halt, which may cause a major set back as there are many of the workers working in restaurant it self. In film industry too many of the workers are engaged.
Prez Rajapaksa seeks PM Modi’s intervention to restore economy
Sri Lankan President Gotabaya Rajapaksa has sought the intervention of PM Modi to revive some of the key projects as Sri Lanka strives to restore the economy in the wake of COVID crisis.
In a telephonic conversation with PM Modi today, the Sri Lankan President called upon Indian side to expedite construction of the East Terminal of the Colombo Port as early as possible as it will be a significant boost to its economic landscape.
In a tweet, Prime Minister Modi said, Sri Lanka is fighting COVID-19 effectively under the leadership of Mr Rajapaksa and India will continue to support its close maritime neighbour in dealing with the pandemic and its economic impact.
The Prime Minister said, the two nations agreed to accelerate Indian-assisted development projects in Sri Lanka and also strengthen investment links. The Prime Minister conveyed his best wishes for the health and wellbeing of the Sri Lankan people.
President Rajapaksa briefed Prime Minister Modi on the steps being taken by the Sri Lankan government to restart economic activity. They also discussed the possibilities of promoting investments and value-addition in Sri Lanka by the Indian private sector.
Mr. Rajapaksa said he is trying to promote value added industrial and agricultural activities and will be happy to encourage Indian investors to start such investments, including Indian companies already in Sri Lanka to increase domestic value addition.
The Sri Lankan President also requested government of India to provide USD 1.1 billion special SWAP facility to top up USD 400 million under SAARC facility as it would enormously help Sri Lanka in dealing with the foreign exchange issues.
PM Modi assured that he is personally committed to help Sri Lanka and is ready to help under terms that are favorable to Sri Lanka. The two leaders agreed to continue with the ongoing bilateral projects that brings direct benefits to people and prioritize food and health securities.
In the face of the COVID-19 crisis, they agreed to further strengthen all aspects of the bilateral relations and President Rajapaksa thanked India for support, including 10 tonnes of medical supplies.
Eduindex News 
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