India is a democratic country that is classified as a lower-middle-income economy by the World Bank. It is still considered a developing nation. Development is still taking place but the Indian economy has taken a great fall in 2020.
The economy is one of the essential parameters to depict the current state of the country. But the GDP fall in 2020 has adversely affected the economy of India. A virus named COVID-19 which has shaken the economic roots of India as well as of the whole world. Moreover, a country like India which is still developing has faced more severe trauma from this.
Lockdown Effects On The Indian Economy
The honorable Prime Minister of India Mr. Narendra Modi had announced a complete lockdown for a few months due to this pandemic. Many guidelines and rules were made by the government, keeping in mind the health of the citizens.
Every profession or industry has faced a lot of problems due to this. Especially, daily wage workers were the most affected ones. At one point in a lockdown, they don’t have a single grain to fulfill their empty stomachs.
Above all, the different sectors combine to form a country’s economic state. The Indian economy has faced a recession due to this pandemic. The government is trying to recover all the losses which the masses are facing due to this. But to protect the lives of people this lockdown was important.
A statement was made by Rajiv Biswas, Asia Pacific Chief Economist at IHS Markit which stated that
This statement helps boost the confidence of people.
The government is introducing several policies are to improve the financial status of the citizens. The reopening of many industries with the proper precaution measures is a good sign for the economy. Continuously, all citizens are still struggling to re-establish and recover the losses which they have faced.
As there’s a saying Time is the biggest healer. So, the GDP growth will take some time. But we as a whole country will have to support each other to increase the recovery rate. The economy has started growing. Positively, it will become somewhat better until the end of this year.
Under such crucial conditions, India has still managed to survive. So, maybe the schemes and projects initiated by the government. Especially, considering improving the financial conditions of the citizens will hopefully show a positive effect on the economic rate.
Author : Kritika Agarwal
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