HOW CORONA PANDEMIC SITUATION HAS AFFECTED THE ENTIRE HOSPITALITY INDUSTRY? THE SITUATION THAT DEMANDS THE ULTIMATE SOLUTIONS !

Respected readers , if you are reading this article , let me tell you frankly , if I'm saying something I mean it ! 

You may have a question ? Why should I read this article ? It's a common man predictions ! Prediction is a forcast, or a prophecy, it is psychic. A significant statment about the feature. It is a guess, sometimes based on the facts and evidences. Prediction is never a fact, But this is a fact which needs to be explained! 

The coronavirus pandemic has unsurprisingly affected the economic & financial growth of most affected countries especially those which are severely affected ( Italy, USA and India ).

India is being the most one of the countries that has been tremendously affected by pandemic has a disrupted growth. 

According to the ministry of statistics, indias growth in the fourth quarter of the fiscal year 2020 went down to 3.1%.  

The world bank and rating agencies has studied and announced indias growth for the Fy2021 with the lowest figures.

India has been in the three decades since Indias economic liberalisation in the 1990s.

Within the period of these deadly pandemic an estimated 14 core ( 140 millions) people lost employment while salaries were cut down for many others,  more than 45% Of The household across the nation have reported an income dropped as compared to the privious year and upto 53% of business in the country has been significantly affected .

All these frightening figures may have resulted in CRISI'S Statment that this may be just be India's worst ressasion after independence.

As scary and discouraging as the numbers and the situation may look there is a still hope and something can be done about it.

However, this is will require all hands to be on the deck and each party has role, these three " PARTIES" being the government, individuals/ masses and private sectors,

All sectors will have to coordinate effectively, in order to inhibit further aggrivances and ensure economic growth and financial stability during and after pandemic.

To begin with we have to understand some simple concepts of that determine economic growth. The economic growth as defined by " TEJVAN PETTINGER " is an increase in national output/ income ( higher real GDP )

This has two aspects to it, which are agreegate demand ( AD ) and agreegate Supply ( AS) . AD has to do with ( Consumer expenditure, investment levels, government budget, export - imports ) while AS involves ( productive capacity, the efficiency of the economy, labour force etc.)

Economic growth is also oftentimes driven by consumer spending and business investment. Which deu the pandemic has been drastically affected leading to the poor economic situation.

So , in order to restore economic stability there needs to begin in increase in demand and or increase in the productive capacity.

WHAT THE INDIAN GOVERNMENT CAN DO TO REDUCE POVERTY IN THIS DEFFICULT TIME 

The government without a doubt faces the biggest pressure as there role is a key factor as countries devlopment.

The government can help by enforising policies that are favorable to both sides.

( DEMAND & SUPPLY )  Same of these policies may include.

# Cutting Rate Of taxes : In order to increase obs possible income.

This may affect national revenue , but properly enforced and appointed relatively, will encourage investment and improve standard of living.

# Cutting down interest on government loans to companies and individuals will also bield self employment and reduce fear of investing, it will also foster innovation and more individuals will be motivated to start up businesses and employ themselves in verious economic sectors.

# Investment in infrastructure e.g. new and better transportation system.

( Roads and Railways etc ) electricity, broadband compenies, internet to enhance online work, transactions and business will increase priductive capacity and revenue congestion.

# Invetisation and deregulation will also increase efficiency and productivity.

# Government can reduce inflation by enforising  strict policies that discourage individuals from increasing prices of goods, especially food items , transportation, fule etc.

# Finally production of better education and more especially adequate health facilities will go long way as it'll help foster immunity against the spread of the virus and reduce its overall effects.

OUR ROLE AS AN INDIVIDUALS / INDIA CITIZENS 

In the core of economic recession individuals and masses usually suffer the most. In India many middle class families are so frustrated with the current situation whereby the government has launched an new resolution regarding the EMI ( Equal Monthly Installment or  Estimated Monthly Installment.) Repayment by alloting three months relevance for the EMI repayment.

This is intended to favour the masses especially those who are living on nominal budget. 

However, deu to the terms and conditions, policies , most of them are still not able to fulfill those terms and conditions because of the lockdown and harresed by the financial corosponder the excuses individuals which they owe .

Being the one out of the three party , that is the mostly affected, Indian citizens many not seem to have an important role in the economic growth of our nation but we actually do.

Individuals make up a country while the government has the major role. Hi

HERE ARE THE SOME OF THE LITTLE WAYS WE CAN COMBAT POVERTY AND LESSON THE AFFECT OF THE HARDSHIP.

* Reducing democratic expenses by cutting down expenditure on unnecessary frivolities , luxuries etc. In order to save money and reduce cost of living.

* Salaried employees who are ensure of their jobs in these difficult times should take up skill aquisitions and start a side hustle preferably by online to aid with their source of income.

* Individuals who are employers can cut off salaries and pay minimal if they can afford it rather than laying all their workers off .

* Traders, Marketers and Retailers Should avoid spiking up prices unnecessarily as this will reduce demand and cause inflation . ( But in the actuality the scenario is absolutely reverse , the government should take a look at it , or the situation may create " Mal outof Mountain " ) leser the demand more the inflation which will lead in to fail in demand and inhibit economic growth.

* Parents can encourage their children to take up skill aquisitions and online classes

( If affordable ) so that these children will not lag behind academically despite the pandemic . The education of our respective children will significantly improve our economy in the long run.

* Drivers and workers in the field of transportation sector should be cautious of how they increase transport fares even after pandemic.

These are not very easy adjustment to do.

However, If we all co-operate and consider some of solutions, then we can reduce the nagetive affects that has caused.

OTHER MAJOR FACTORS ( Private sectors, Carporate Companies, Bank etc.)

In the most developing countries like India.

The private sector generates 90% of jobs. 60% of all investment and 80% of government revenue . In India the private sector contributes about three - fourth of the countries national income which is why the private sector is of major importance. The effect of pandemic undoubtedly struck the private sector and these are the some practices that may be enforced.

# Industrial relations and workers motivation can be driven by private sector through providing flexible working practices (Self employment , working from home, etc ) Government should provide a enough space to settle in good rythem. Or redirecting financial services to increase the number of Installments by reducing the amount of (EMI) , which can be segregated as salaried employee.

The government influences on worker motivation is limited to redusing taxes and encouraging the investment.

# The private sector can also aid by cutting salaries of employees Instead laying them off totally.

# Partnership with the government to build infrastructure thereby providing construction jobs and thus employment

# Online work / Working from Home can be encouraged to reduce unemployment and encouraging those in further investments.

# Banks and Money lending houses can encourage entrepreneurship by reducing intrests collected on loans and extending deadlines . Some policies that comply with this suggestion has been setup by the government ( EMI) however most of these terms and conditions assigned to such policies are even more affected by pandemic. So financial houses and money lending individuals should be very considerate and try as much as possible to bear with the debtors, especially middle/avarage families due to lockdown.

CONCLUSION : Economic growth does not necessarily ascertain poverty eradication as without equal distribution of development the rich will only get richer and poor will get poorer . Therefore the major focus should not be in economic and financial growth but also poverty alleviation these two should go hand in hand in order to ensure proper and equal devlopment in india.

DISCLAIMER : The options expressed in this article are personal views of the author. They don't necessarily reflect the views of perfectionist . Any omissions or errors are authors.

REFERENCE 

TEJVAN PETTINGER , How to increase economic growth available at 

https://www.economicshelp.org/blog/4493/e 

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NAME: Abhiraj Waghmare

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EMAIL ADDRESS : waghmareabhiraj23@gmail.com