IMPACT OF LOCKDOWN ON ECONOMY

INTRODUCTION:-

The coronavirus COVID-19 pandemic is that the shaping world health crisis of our time and therefore the greatest challenge we've moon-faced since war 2. Since its emergence in Asia late last year, the virus has unfold to every continent except Antarctic continent.

But COVID-19 isn't simply a health crisis however over that. By stressing each one of the countries it touches, it's the potential to make shattering and devastating social, economic and political crises which will leave deep scars.

Since the new coronavirus will unfold ignored therefore simply, several governments have felt the most effective thanks to guarantee individuals have negligible contact with one another is to order total lockdowns, with individuals solely being allowed to depart to induce food or drugs, and to follow social distancing once they do leave their homes.

PURPOSE:-

• The purpose of this lockdown was terribly clear that to scale back the devastating effects of COVID-19 and unfold cases out over a extended time-frame to avoid overwhelming health system.

• Some of the analyst state that the pandemic came at the foremost inappropriate time for India whose economy was showing signs of recovery when daring measures, it's currently aforementioned, the country once more might fall at the chance of low single-digit growth.
• The fast unfold of COVID-19 has not solely hampered the worldwide economy however additionally triggered a partial closedown in several elements of India

SUBJECTIVITY:-

In associate degree economy already reeling beneath period of demand, rising state, and lowered industrial output, all of that happening along for a protracted amount currently, a supply-side constraint would provides a huge blow to the expansion prospects and social and economic well-being of an outsized variety of individuals.

At the instant, it's a supply-side downside. each production and distribution of non-essentials have come back to prevent. This affects a minimum of fifty fifth of the economy. it should even be larger because of previous lockdowns by varied state governments.

In the event of zero price addition, GDP growth for the primary quarter is probably going to be adversely affected and will even rolls right down to negative for sectors like touristry and trade. There would be outstanding disruption of offer chain and can take many months to be fixed. Estimates indicate that the primary 2 quarters of consecutive financial might observe a growth under 3-4%

In Indiat Up to fifty three of companies have shown a particular quantity of impact of shutdowns caused because of COVID-19 on operations. varied square measure cutting salaries and shedding staff.

·        IMPACT ON MANUFACTURING:-

Major huge firms in India such as Larsen and Toubro, Aditya Birla cluster, Tata Motors and Thermax have briefly suspended or considerably born its varied operations in a very variety of producing facilities and factories across the country.

·        IMPACT ON E-COMMERCE:-

Recently, Amazon which is that the biggest in e-commerce world and lots of alternative giants ,announced that it'd stop sale of non-essential things in India so it will specialise in essential wants. E-commerce firms additionally rummage around for legal clarity associated with what square measure "essentials".

·        IMPACT ON STOCK MARKET:-

A deep adverse impact is recorded on stock exchange because of lockdown. Recently, stock markets in India post worst losses in history. SENSEX fell 4000 points and NSE NIFTY fell 1150 points.

TOWARDS SURVIVING THE ECONOMY:-

The manner within which India exits the lockdown can demonstrate however ready India is, the potency of the system, and its chance as a world different for the long run.

Finance Minister Nirmala Sitharaman on weekday aforementioned the govt. was making ready a information package and therefore the same was awaiting many procedural clearances. the govt. has to this point requested India INC to play salaries on time throughout the lockdown.

JM monetary expects targeted measures for sectors like aviation, retail and tiny businesses within the returning days. there's additionally a case for tally to intervene to alleviate  

It has self-addressed and created steps towards fixing a number of the problems associated with tax liabilities and indicated that a financial information is on the manner, a comprehensive one would be required to attenuate the economic prices

RELATED IMAGES OF LOCKDOWN ON ECONOMY:-

VIDEO LINK:-

·        https://youtu.be/6-exeE3e0QM

·        https://youtu.be/p6nKogn0c9Y

CONCLUSION:-

At last, I conclude my article by saying that, the choice to implement a complete lockdown wasn't a simple one because it is guaranteed to considerably disrupt economic activity across India however as PM Modi aforementioned that wherever there's life, there's hope and that i have firm believe that the govt. can take acceptable action to handle the economic issues.

AUTHOR:

MADHVI GARG

MBA 1ST YEAR

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