The Covid-19 Pandemic has hit the overall Global economy. It is said that the global recession in 2020 might be worse than what we experienced in 2008.
As per the United Nations Conference on Trade and Development - “The world economy will go into recession this year with a predicted loss of global income in trillions of dollars.”
The Asian Development Bank (ADB) projects India's gross domestic product (GDP) will slow to 4 per cent in the fiscal year 2020 ending on March 31, 2021, due to a weak global environment and continued efforts to contain the novel coronavirus (COVID-19) outbreak in the country. The forecast assumes that the pandemic dissipates and full economic activity resumes from the second quarter of FY20. The Asian Development Outlook (ADO) 2020 forecasts a recovery in India's economy in FY21 with a growth of 6.2 per cent supported by government reform. India's economy recorded 5 per cent growth in FY19. ADO is ADB's annual flagship economic publication.
How does this impact the startup ecosystem- Foreign Investors, have put off deals across the board. Domestic venture capitalists (VCs), too, are delaying making investments as they cancel or postpone travel and meetings. Some large funding deals for companies in transportation, and food and grocery delivery are likely to be delayed because of the virus. Dozens of smaller funding deals have already been postponed.
Consumption of nonessential products and services is practically on a standstill in the current lockdown. With the number of cases increasing each day,... (More)