Two years since it was announced that World Health Organization declared COVID-19 a global pandemic and the world is coming to an understanding of the disruptions caused through the viral. The most significant and lasting effect is the impact on healthcare systems. Then there was the more long-lasting and impactful economic toll.
The government’s efforts to fight illnesses and limit spreading of this virus triggered world-wide supply shocks specifically in the field of manufacturing. Additionally, lockdowns and other measures to contain the spread of the virus caused widespread disruption to business. It is now evident that the virus has led the world to the second largest financial and economic crisis in the 21st century. It is likely to cause long-term structural consequences. Additionally is that it has revealed the weaknesses of the geopolitical and economic order.
The shift in the global order began before the outbreak, and power equations had already begun to shift because of geopolitical shifts. There was a certain tendency towards a multipolar world. The central power of the global economy started shift towards Asia.
The world order of the present has seen a significant change and is likely to create the possibility of a post-COVID post-dispensation. In this current state of flux the space has been made for emerging and hopeful powers to claim the spotlight and shape a brand new world that has a more prosperous future for everyone.
Indeed, signs of economic recovery are beginning to appear within our economic systems. It is the International Monetary Fund (IMF) estimates that the world economy will expand by 6% between 2021 and 2021 and anticipates 9.5 percent growth for India. Indian market. In the meantime there is an the rapid growth of digital infrastructure and services through the use of large-scale work-from-home arrangement and the growth of cloud-based applications and videoconferencing.
Many tech executives have pointed out that the progress made in digital transformation made in just a couple of months would normally take about two to three years. These are encouraging signs however there is much to be accomplished.
Despite the destruction to the economy that the virus has caused, India’s quick response to the virus is admirable, particularly when the nation rallied to fight the dangerous 2nd round from the disease in 2021. India is the very first nation to experience the effects of the deadly Delta variant but swiftly took actions to make sure that the largest number of as they could get vaccine-ready. 1 million doses of the vaccine have been given.
Alongside protecting its own people, India has also acted in the best interests of the entire world in supplying medical equipment and supplies to over 150 countries around the globe and by placing an essential supply of COVID-19 for sale to the world market. In fact, the epidemic is an opportunity for India to reassess their potential to be a world leader, particularly just as India is celebrating 75 years of independence..
Since the beginning, India has supplied crucial medicines and drugs to the world market. More recently, India has invested in the production of the COVID-19 vaccine in order to guarantee equitable access to the vaccine around the world.
In the midst of COVID crisis and the COVID crisis, India’s South Asian Association of Regional Cooperation (SAARC) initiative held its first multilateral summit. It was a success, and inspired the G20 and other countries to follow in their footsteps. With India becoming it’s G20 presidency in the December of 2022 It will definitely be a major player within the global post-COVID recovery.
In addition to the epidemic, India is meeting other international commitments, including living up their climate mitigation commitments. India is also way ahead of schedule to fulfill other lofty goals, like making renewable energy 40 percent part of the energy mix in 2030, and managing its sequestration process of 2.5 millions of tons of carbon.
At the currently taking place United Nations Climate Change Conference of the Parties (COP26) which is taking place at Glasgow, Scotland, Prime Minister Narendra Modi committed India to an ambitious Panchamrit commitment which will ensure that the nation address five major areas of its economy in order to decrease the greenhouse emissions of greenhouse gases. Five sectors namely mobility, energy industries, infrastructure, cities, as well as agriculture – are essential to reaching an international 1.5-degree Celsius warming target.
A report released by the World Economic Forum – Mission 2070 – The Green New Deal for a Net-Zero India – describes the steps India has taken to get towards net zero could have estimates of economic impacts of more than one trillion dollars in 2030 and $15 trillion in 2070. Additionally, India has prioritized cooperation in technology, innovation, and digitalization in its efforts to aid in the accomplishment of the United Nations’ Sustainable Development Goals (SDGs).
Opportunities and challenges
India is celebrating the 30th anniversary of economic deregulation and is a important moment in the history of India and a proof of its capacity to reinvent itself. The successive governments have determined to achieve sustainable growth and self-sufficiency, and self-sufficiency not only for the present generation, but also for the generations to be. However, the efforts of the current administration to encourage digital empowerment and financial inclusion in the last mile are particularly noteworthy. Under the aegis of a state-backed electronic payment platform, millions of rural families, who are not banked, have entered the formal economy and are able to get basic financial services.
In the world the diplomatic efforts of India are guided by the concept that vasudhaiva Kutumbakam which means that the entire whole world has one common family. This is the type of message that the world requires to be able to live in the present like this. Indeed, India’s call to reforms and renewal of multilateralism is receiving a lot of attention from the world’s leaders and policymakers.
In the last few years, significant structural reforms have been initiated in the Indian government in order to boost the long-term prospects of the country’s economy. The government’s goal of catalyzing India’s transformation can be seen in the introduction of a variety of initiatives like those of the Gati Shakti National Master Plan and the Atmanirbhar Bharat mission.
The government also has announced plans for the National Infrastructure Pipeline and National Monetization Plan to accelerate the development of infrastructure. This broad development agenda is a good example of initiatives in multiple fields that include reforms to unify various and different labour laws as well as the drafting for an Insolvency and Bankruptcy Code, and reforms to the banking sector. India should maintain the momentum created by these positive initiatives and keep enhancing the strength and vitality that its economic system. In the same way the structural reforms must be aimed to ensure the growth of an equitable and inclusive nature.
This is crucial because the disease has revealed and intensified existing inequalities as well as their effects on vulnerable groups, who work within the unregulated sector. These are issues which the Indian government was working on before the pandemic hit through fair and inclusive development which included the provision of cash assistance for farmers as well as affordable and safe housing, clean drinking water and electricity to everyone.
Moving forward, India will have to prioritize sustainable growth and economic expansion in order to continue its path of development and influence. India should remain committed to transformational change instead of incremental changes in order to develop an economic strategy that encourages rapid growth. This requires a constant dedication to comprehensive and systemic sectoral reforms. This will include strong policies to restore fiscal balance and improve the bank system.
India will also have to keep working to improve its efficiency and efficiency of business. It will also have to increase its infrastructure development efforts not only for bridges and roads but also for health and education as well. Also crucial is the need to make sure that India’s demographic advantage yields dividends and millions of youngsters who enter into the workforce each year find jobs that are meaningful.
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There is no denying India’s renewed attention to space through the recently announced Indian Space Association. Here on earth however there is a change in the way the Indian Government is putting the proper attention to manufacturing. In the context of the shift to global supply chains as well as the need for a geographical diversification in their distribution, India offers a safe and secure destination that could be a key center for global manufacturing. India is a major advantage in terms of demographics and a skilled workforce, as well as technical expertise, as well as the ability to conduct research and develop required to make a solid segment on the global market.
Then, of course, India is also expeditiously progressing on the path to energy transition and the plan of the government to set up the National Hydrogen Mission is an important positive step. India has also an unique opportunityand plays a significant roleto play in fostering regional cooperation in South Asia, thus creating new possibilities for prosperity and growth.
With the constant instability and changes, India has a rare chance to make a number of policies that not only tackle the immediate public health issues but also be an important axis for influence and power for the future post-COVID world. It is the World Economic Forum stands with India in its quest to assume leadership roles and to propel the world towards the direction of a brighter, better better and sustainable world for everyone.