The outburst of COVID-19 pandemic has brought social and economic life to a standstill for different class of people. In this study the focus is on assessing the impact on organized and unorganized sectors  like Education, Travel and Tourism, aviation, SME’ s and many small enterprises which were into the phase of developing etc. Many of these MSMEs have high loan obligations, monthly EMIs and many other expenses to pay. Many of them might just disappear if their cash cycle is disturbed because of the lockdown, with fixed costs swinging over them in such a situation. Most of the informal workers from micro, small and medium sized enterprises have shut down their business or they have started looking for other opportunities. Startups with minimum investment has emerged as intermediate inputs and services to modern sector are struggling to survive, which was imposing a big challenge to government also. The eruption of COVID-19 has affected the nations in an extensive way, especially the nationwide lockdowns which have brought social, economic and business life on halt. A business world which forever besotted with end number of activities has fallen silent and all the resources have been redirected to meet this pandemic crisis. There is immense impact of the virus on  the economic activities which has slowdown most of the  nations economy. What is more breathtaking was when World Health Organization gave an alarm bell which was rung in 2019 by the World Health Organization (WHO) about the world’s inability to fight a global pandemic. On 28 February 2020, the National Statistical Office announced revised estimates of GDP growth, from 8 per cent to 7.1 per cent in the first quarter, from 7 per cent to 6.2 per cent in the second quarter and from 6.6 per cent to 5.6 per cent in the third quarter. India’s GDP growth rate falling below 3 per cent if the virus spreads further in India and lockdown sees an extension. The focus of the research paper is on Demand of which commodities have gone up or come down and in relation to the effects on supply of commodities. How the prices of different commodities have behaved during pandemic phase.  How economy has reacted in two years. This research paper also includes the opportunities created in different sector along with government efforts. The recovery in economy depends on the timings and magnitude of government support, level of corporate debt and how the companies and markets cope with lower demand and increasing prices. Government assistance to those most in need (largely constituted of unorganized sector, migrants and marginalized communities) is a critical measure to save many lives. The pandemic will bring in more of the unorganized sector in the hands of formal sector by means of the economic benefits announced which in turn will increase the government’s revenues from indirect taxes in the long-run.

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Keywords: COVID 19, Organized and Unorganized, Economic Impact, GDP Growth Rate, Challenges.