DWQA QuestionsCategory: GS Paper IIIQ. The Coronavirus impact is severe on the economic front. Discuss how the impact has led to severe slide in the value of rupee? (150 words, 10 marks)
1 Answers
Sanu sarkar answered 4 years ago

Coronaviruses are severely impact on indian economy led to fall down rupee 75.25 as per 1dollar .it causes depreciation to indian economy and human activities as well.
*Due to the coronaviruses attack to economy the foreign investors have started to withdraw investment from indian market which led to increase the demand of dollar with respect to rupee.
The indian pharmaceutical companies which is mostly dependent on china to produce medicine.but due to cease the import from China the indian company can’t process the medicine which led to fall export of medicine.this led to deficient to earn dollar.
Coronaviruses are not only affected indian economy but also global economy.this cause the decline of inflow of dollar in indian account.
In this recession government should pumping stimulus package and sell bond at the assurance of high return so that this critical situation can be controlled.