As the coronavirus infection is spreading and risking the lives of people, globally it has also created deep economic distress as some businesses struggle to stay afloat. Several industries have been adversely impacted due to the spread of covid 19. Globally news reports are painting a dismal picture of the number of supply chains that are affected. The global economy is grinding to a halt. If the virus room needs to be put in for a long time and it is fear that the global economy may slip into a recession. Recession sets in when the economy shows two consecutive quarters of contraction as of now. Nobody has been able to predict the vitality endurance and longevity of the virus. The IMF has predicted that the close of GDP is estimated at 1.6 for 2020 while the figure in 2019 was 2.9 percent. The United Nations conference on trade and development said that the outbreak could cost the global economy up to two trillion dollars this year. Recession due to the pandemic in some countries will bring down the global economic route to clock in below 2.5%.To deal with the effects of the COVID- 19 outbreak, OPEC has proposed to curb oil output. The price of oil has fallen by about a quarter and the demand for the fuel is also expected to decline. Rabobank, a Dutch multinational banking and financial services company, has said that a global recession is certain when people engage less with the outer world and avoid work, education, fitness, and its treatment it results in lesser economic activity. Businesses are now facing the challenge of a disrupted supply of components to make their products. They have to take into account a large number of quarantined workforce and factories that are temporarily shut. When Chinese suppliers were shut down, the Indian pharmaceutical, automobile, and mobile phone industries immediately bobbled. India depends on China for the supply of components for the products that these sectors make. The pesticide sector has also been affected as manufacturers are dependent on China. The Indian gem and jewelry makers are expecting a loss of about 1 billion dollars due to the partial closure of the Chinese and Hong Kong markets. Even the software industry which easily lends itself to working from remote locations is making slow progress. The fate of the Olympics in Tokyo was also affected after the International Committee decided to postpone the 2020 Summer Games. The very popular Indian Premier League has also been postponed. Tournaments organised by the Union of European Football Association, Formula 1, various Tennis Associations, PGA, NBA National Collegiate Athletic Association were also suspended indefinitely. And payment via mass media has taken a hit cinema halls throughout the world. The release dates of many movies have been suspended. On the other hand, the demand for medical supplies, soaps hand sanitizers, and essentials to be stocked up at home have to rise if the current situation is persistent. Digital shopping may see even more traction online learning platforms - are likely to get a boost with schools shutting down temporarily.
Covid-19 is still there and causing damages to many other big economies of the world. There is hope that the situation may be good in upcoming years.