Impact of Lockdown and Challenges of Covid-19 on the Indian Economy

Abstract

In recent years Indian economy was passing through the recession and economic slowdown now the corona virus has impacted the economy massively through the lockdown. The nationwide lockdown called in the wake of COVID-19 pandemic had taken a serious toll on the fiscal positions of the central and state government. The corona virus is spreading quickly around the globe. India is now facing its greatest crisis since its independence. In the wake of global slowdown growth of the Indian economy, the fiscal situation in the financial year is supposed to remain subdued and challenging.  Indian government took the lesson from the developed countries like USA, UK and Germany and on the basis of the experiences of China and Korea to tackle this pandemic took the path of lockdown the country to save from community spread. The World Health Organization (WHO) has already declared it as world pandemic. More than 100 years later, we are witnessing the spectacle of a virus, after Spanish flew forcing nations to shut down for weeks at a time. That is why economists across the world believe that the global economy is in for its biggest recession in nearly two decades. Due to this lockdown almost every sector of the economy has been affected. The countrywide lockdown put the Indian economy into troubled waters. We have many challenges in this corona pandemic before the economy, these are revival of economy, rebuilding of confidence among the migratory labour, employment generation and control of pandemic.