India is gearing up for the post-lockdown scenario with the lockdown due to end on April 14, 2020.
In this regard, the Prime Minister Narendra Modi has reportedly directed his cabinet members to chalk out plans on allowing business activity in the country.
Modi asked his ministers to list the top areas and top decisions to work on post the lifting of lockdown.
“Prime Minister said that it is essential to strategize for the emergent conditions once lockdown ends,” reads an official statement.
“While mentioning that due to the emergent challenges, the country needs to lessen its dependence on other nations, he asked all departments to maintain an objective index on how their work will promote Make in India,” the statement adds.
According to the Purchasing Managers’ Index, the manufacturing sector growth has dropped a four-month low in March 2020 due to weak economic activity.
Meanwhile, S&P Global has cut its estimates for the nation’s GDP to below 3.5 percent from its previous estimate of 5.2 percent.
The surveyor expects Coronavirus crisis is going to one of the worst financial crises for the Asia-Pacific region in the lines of 1997-98 crisis.
Now, the government is reportedly eyeing the post lockdown scenario as an opportunity to boost its manufacturing activity.
Economist Indira Rajaraman said there is less scope for West-like Coronavirus packages in India and the Center should in fact give powers to the states to deal the situation their way.
“Industrial and commercial activities as well as employer-worker relations are far more organized in industrialized nations than in India. Those nations have standard operating procedures in place to give a helping hand to businesses during a shock and protect jobs while the company gets back to its feet. However, in India, with a large unorganized sector, it will be very difficult to identify specific industries to give fiscal support without extending the same to a host of others keeping in mind the need for fairness,” says Rajaraman.
Modi has reportedly asked his ministers to submit recommendations on ways to boost manufacturing and export activity, along with addition of new sectors and nations to India’s export list.
Stay tuned to Indianera for more updates on Coronavirus and other news updates.
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- Lockdown Isn’t Enough To Fight Coronavirus: WHO Tells India
- COVID-19: After #JanataCurfew, India Continues ‘Lockdown’ Until Mar 31
