CEA: Economy in improved shape than during 2020’s COVID-19 wave.
On Friday, K. V. Subramanian, Chief Economic Adviser (CEA), said that the Indian economy is in a better shape as compared to the previous COVID-19 wave observed last year because of vaccines.
Speaking at an event organised by Amazon, he said, “There is a second wave therefore people should be careful about it and follow all regulations”. He added, “But overall compared to previous episode, we are in a better shape because vaccine is out and vaccination drive is proceeding. So, uncertainty is much lower”.
India went in for one of the strictest lockdowns subsequent to the outburst of the pandemic in 2020 which led to a massive contraction in GDP of about 24%.
Beginning March this year, the second wave started nurturing its head with an abrupt jump in cases, forcing many States to go for localised restrictions. According to the Union Health Ministry data updated on Friday, India added a record 2,17,353 new coronavirus infections in a day.
The CEA said “one key thing that stood out during this pandemic is the rollout of e-commerce and digitisation, something that India has embraced.” He added, “As many as 800 million people were provided essential supplies through the public distribution system and cash transfer through the Jan Dhan, Aadhaar, Mobile (JAM) with a click of button, while most advanced countries like the U.S. provided financial support to its citizens by issue of cheques implemented over two months”. Further, he said, “I think Indian economy is really equipped very well to usher in the significant growth that is happening in e-commerce”.