The world witnessed one of its worst pandemics ever and undoubtedly covid-19 has unimaginably changed the world, India one of the fastest-growing economies in the world has been hit severely due to the pandemic the economy saw a gradual downfall in the first wave of the pandemic. The second wave of Covid-19 may not affect the Indian economy as severely as that of 2020, but it is gradually impacting many important financial sectors of the country. But amid all the disruptions and gloom, there is a silver lining. There are numerous reasons to be positive and cheerful. When the pandemic starts to fade and finally leaves us alone, the post-Covid-19 scenario of the Indian economy leaves us with some potential benefits and also will pave the way for upcoming sectors which have the potential to become bigger in the coming years.
E retail Sector: Although a larger section of Indian households still shop for groceries at their neighbourhood shops, or visit markets. But given the pandemic situation people have come across online shopping platforms for groceries such as Big Basket, Nature’s Basket, Grofers …etc which is no less than a boon for E retail Sector as they have been struggling to pull the larger crowds to online platforms from many years. Today the players in the market are taking full advantage of this pandemic as an integral part of the everyday grocery fulfilment value chain At present huge discounts & many coupons are being offered on a variety of products, while unit limits on the purchase of essential goods have been placed to ensure that everyone’s needs are met. Despite difficulties such as order delays and cancellations, most players in the market are seeing a 25% to 75% increase in their order volumes as a result of the increased demand. In certain ways, the lockdown is gradually shifting people’s minds and motivating them to shop for groceries online. This suggests that, even after the COVID-19 concludes, the online E retail sector will get even bigger in the long run.
Healthcare Sector: Even though the healthcare sector has always been an integral part of the country. The pandemic proved to be so destructive that products like masks, sanitisers, and personal hygiene equipment are expected to increase also the consumption of diet and wellness items is expected to grow as people follow better personal hygiene practices in the post-COVID-19 world. Disinfectants and sanitisers are now the most popular products, a trend that is likely to continue and become deeply entrenched in consumer behaviour. Fitness accessories, such as fitness monitoring devices and applications, are also in high demand. This change in attitude toward healthy living creates opportunities for partnerships between fitness product manufacturers and healthcare providers, boosting the country’s GDP in the coming years. Furthermore, as more people turn to the internet, services like online medication distribution and teleconsulting, which are already booming due to the lockdown, will continue to flourish in the future.
Digital Sector: Before the pandemic, the usage of digital media had a limit or per se not many options to use preferably to the older generation. But things have rapidly shifted in the past 1 year as People have begun to use digital media for work commitments, schooling, and entertainment during the pandemic. The use of online forums for business meetings has exploded in popularity. Meeting and video calling applications have come up with revolutionary features that make working from home possible for professionals. This has also made it easier for schools and colleges to begin offering online courses and tests. The lockdown has limited activities that involve a large crowd, such as music festivals, sports, and movies, causing these industries to suffer. As a result, online channels for digital content have become a big success, with many movies and shows being released digitally rather than in theatres. Due to the lockdown, this industry has experienced unprecedented growth.
Financial & Banking sector: An all-time economic low is a foregone conclusion in the coming days. With little or no cash reserves, the masses will be stranded. Unemployment and health problems will exacerbate the problems already present. Regulated financial service providers and non-bank financial companies (NBFCs) play a critical role in such situations.
Unsecured lending is undeniably something that people will seek out. They would need funds with the bare minimum of collateral, and traditional banking structures would undoubtedly fall short of policies in such circumstances. For medium and small businesses, as well as unemployed individuals and others who need funds quickly.
The crisis, on the other hand, is presenting the BFSI sector with a once-in-a-lifetime opportunity to fundamentally alter how it operates. India is a cash-based economy that has yet to develop out of its reliance on cash, despite large-scale steps such as demonetization. This appears to be changing, as the novel coronavirus’s viral nature has made Indians wary of cash.
IT sector: The IT industry is heavily reliant on business from the United States and Europe, making its fortunes inextricably related to the success of these global markets. Indian IT companies should exploit their core value proposition and restructure their current services at reasonable price points as top clients from these regions reduce their IT spending in the wake of the COVID-19 outbreak.
This will help players thrive in the short term while also preparing them for the digital opportunity that will knock on their doors once the world has gone digital.
Conclusion
This same expansion isn’t limited to these industries; it will undoubtedly affect many other aspects of the Indian economy. It will be important to see how these transformations play out for the current system and the wider population as the economy gradually returns to normalcy after the lockout lifts.
