PM Modi says epidemic has severely affected economy
nNEWDELHI: Prime Minister Narendra Modi on Thursday said the coronavirus (Covid-19) outbreak had severely affected the economy and announced the creation of a Covid-19 Economic Response Task Force to take measures to tide over the crisis.
He said the task force led by Union finance minister Nirmala Sitharaman will be in constant contact with all the stakeholders, seek their feedback and take necessary decisions after analysing the situation.
“The task force will also ensure that all the decisions taken to tide over the economic crisis are effectively implemented,” Modi said.
He appealed to employers to treat the economic interests of all those who work for them with “humanity and sensitivity”.
Modi said the economic situation had adversely affected the middle class, the lower middle class and the poor.
In this backdrop, he appealed to the business community and high-income earners to be sensitive towards the economic interests of all those whose services they avail.
“It is possible that in coming few days, these people may not be able to attend offices or come to your homes. In this situation, please do not cut their wages.”
Prime Minister Modi underlined the need for empathy and remembering that they, too, have families to feed and protect from the disease.
In the wake of rumours about the possible closure of markets and shortages, there has been a spike in purchases, especially of essentials.
Modi said that all steps were being taken to ensure that there is no scarcity of essential commodities such as milk, food items and medicine. “I appeal to the countrymen not to go into panic buying to store essential commodities. Do normal buying, not panic buying.”
Professor Ram Singh of the Delhi School of Economics (DSE) said that the pandemic will affect the supply-side and then lead to a decline in incomes, and consequently a drop in consumption.
“Both informal and formal sectors such as construction, tourism, and retail would be adversely affected. The task force must work towards minimising the [economic] cost of the pandemic.”