India has seen a negative growth rate in the last financial year. All economic activities were on halt and we have seen rapid inflation. Petrol and diesel prices were at their peak. Not only India but the who
le world also confronted the declining growth of the economy. Again the covid is expanding very rapidly. Recently, India has seen a lot of new cases and sprawling death statistics. Inadvertently, Indians are inviting this wave due to a lack of seriousness. Recently there was a report which stated that more than 50% of Indians are not wearing the mask. This report substantiated that there is a lack of seriousness among us.
Recently, Maharastra and Punjab have seen a rapid surge of Covid cases. This is a grave matter of concern for the government. Vaccination is an alternate way to deal with this but it is not possible to vaccinate all the citizens in this short span of time because of the huge population. Then comes the lockdown and section 14 which many states started imposing. Delhi imposed a night curfew till 30 April, Uttar Pradesh is also restricting the public gathering and guidelines has been issued by them. But lockdown and curfews adversely impacted the economic growth. This option is neither feasible nor economical.
Transportation activity is one of the indispensable economic activity but due to the surge, it is getting restricted. Gross domestic product is the value of goods and services produced by all the people in the territory of India in a specified time. If lockdown will be imposed, evidently rate of production will decrease which will lead to a declining growth rate. The inflation target, that has been set by the government, is 4% with a fluctuation of 2%. Many economists are saying that this might be the possible reason for the declining growth rate.
Even though prediction has been done of V-shaped recovery but it will be a K-shaped recovery. Government should think of an alternative way at the place of this lockdown and section 144 imposition. If the government will not be precarious about this, the economy may again enter into a technical recession.
