This is an archive article published on March 25, 2020
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Covid-19 outbreak will bring lasting changes in healthcare, security, governance

The pandemic can be expected to goad overwhelmed healthcare systems around the world to do better, point them in new directions and provide investment opportunities in preventive and palliative care.

Written by: Sujan R Chinoy
7 min readMar 25, 2020 11:11 AM IST First published on: Mar 25, 2020 at 03:00 AM IST
coronavirus, coronavirus lockdown, coronavirus India, coronavirus India impact, coronavirus work from home, coronavirus impact, coronavirus impact economy, Covid-19 virus, Indian express The next generation of telecom infrastructure will have to be dovetailed, in terms of cost and spread, with the needs of mass healthcare schemes such as the Ayushman Bharat Pradhan Mantri Jan Aarogya Yojana, especially to cater to the most vulnerable segments in far-flung rural societies. (Illustration by C R Sasikumar)

The global economy is beginning to reel under the unexpected effects of COVID-19, the coronavirus that has left scarcely any part of the world unscathed. The steep cut announced in the US federal interest rate, down a full percentage point to a range of 0-0.25 per cent, is a desperate bid to shore up liquidity in the world’s largest economy at a time when stocks have tanked and the bond market is in disarray. Goldman Sachs has predicted that the US economy’s growth rate will be flat for the first three months and in the next three months, it would contract by 5 per cent. With unemployment rates set to double even faster than they did during the financial and economic crisis of 2008, the stage appears set for a recession that will not be limited to the US. It will compound the economic slowdown in the world’s second-largest economy, China, which is the largest trading nation, and possibly set off a chain reaction.

The hardest hit, globally, are the services sectors and inter-dependent supply chains in the manufacturing sector. Business in travel, tourism, hospitality and public entertainment including restaurants, malls and theatres is at a complete standstill, destroying the means of livelihood of millions. Global manufacturing took a hit with the appearance of the coronavirus in Wuhan, and China’s lockdown. Now, with the pandemic spreading its tentacles around the world, it resembles a knockout punch. One wonders if the current situation will strengthen the trend towards protectionism and emphasis on domestic manufacturing even if it is against the principles of market forces. A febrile and debilitated globalisation featuring closed borders and disrupted trade and supply chains, ironically, coincides with a pressing need to evolve a fresh outlook on global interdependence and cooperation in dealing with pandemics and a host of other issues.

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