Restaurants, realty sector worst hit due to coronavirus lockdown, will take 1-2 yrs to revive, says report

WION Web Team New Delhi, Delhi, India Apr 09, 2020, 01.01 PM(IST)

Realty sector in India Photograph:( AFP )

Story highlights

A FICCI survey has, in consequence, said that few sectors like restaurants, auto and real estate may take around 12 to 24 months to recover. The other severely hit sectors also  may require similar period to revive. These include transportation and tourism, logistics, entertainment and consumer durables.

The coronavirus crisis and the subsequent nationwide lockdown has impacted India in more than one ways. The economy has come to a standstill, and India is staring at a recession.

A FICCI survey has, in consequence, said that few sectors like restaurants, auto and real estate may take around 12 to 24 months to recover. The other severely hit sectors also  may require similar period to revive. These include transportation and tourism, logistics, entertainment and consumer durables.

The survey titled 'COVID-19 India: Economic Impact & Mitigation' said that sectors such as apparel and beauty product, beverages, alcoholic beverages, insurance, agriculture, chemicals, metals and mining, services, industries, offline retail, and healthcare are likely to recover in 9-12 months.

The survey report, however, added the recovery is dependent on consumption stimulus and survival of businesses itself.

The industry body also said the Indian industry requires an immediate stimulus package of Rs 9-10 lakh crore, which would account for 4-5 per cent of the country's GDP.

The report stated services such as food retail, telecommunications, utility services and pharmaceuticals have witnessed a boost in the short term and would stabilise in the long term, in about 6-9 months. Online healthcare, personal care, online entertainment and education have also received a boost during the restrictions and lockdown and would keep growth momentum in the long term.