The latest report of IMF by Gita Gopinath, Chief Economist, has declared that the world economy will be in the worst recession since 1930. The growth will be minus 3 (-3). It is a shocker for the world. But the worst affected would be the underdeveloped and developing nations. Heavily screaming under external debit, Imran Khan of Pakistan has already made a crying appeal to rich nations of the world to help Pakistan.
However, there will be two exceptions I.e. India and China. While China will grow at 1.2% and India at 1.9%. Though this is against the earlier projection of 5.8 %. It may be noted that Gita Gopinath is no supporter of Indian economic policies. She belongs to Nobel Laureate, Amartya Sen Club, which also includes Raghu Rajan, Ex-Governor of Reserve Bank of India. This club has been doomed day predictor of Indian economy under the present regime.
This drop-in projection is due to Coronavirus, whereby 185 countries are affected. Some 1/3rd of the world population is under lockdown. The world economy is not likely to come into “green” before July 2021.
Indian growth will be led by heavy opportunities provided by Corona. The primary opportunity will be in the field of Pharmaceutical industry. According to Doctor Kim, Director of John Hopkin Research institute, India produces 70% of Global medicines and vaccines. He asserts that wherever the vaccine is invented, its commercial production will be in India. This is very significant.
Another push to Indian economy will be given by the manufacturing industry. As reported by media, Japan and USA are pulling out their factories from China. Allegedly, Japan has withdrawn some 100 factories and looking for space in India. So are the USA and the EU.
Bad news for China is that most nations have now begun to question Chinese intentions. Substandard products supplied during the Corona Virus have earned it a bad name. There are many questions raised on the origin of COVID-19. Despite best efforts by China to bounce off the allegations, World is not buying its narrative.
Chairman of African Unity warned China for its substandard material also discrimination of Africans in Guangzhou province of China. It is time and opportunity for India to exploit fleeting situations. Act now. But be warned quality of the product must not be diluted. It will backfire. What would be more agonising is to throw away the golden opportunity by greed and callousness.
It might not sound ethical, during the spread of the virus to advocate make much of opportunities presented by it, but who bothers for ethics. India is projected to be the fastest-growing economy this year —- it must not drop into a slump. Only slogan worth shouting is: Go, India! Go!! And go aggressively.