IMPACT OF COVID-19 ON MSME

An attempt has been made by researcher. The researcher analysed that the outbreak of covid-19 has led to plague followed by increasing number of cases reported in other countries across all countries. In response to the outbreak, Government of India has taken various policy action to contain the blowout of virus such as enforcing social distancing and self-isolation measures, travel ban and border closure, and lockdown of entire country. India, which has a population of 1.3 billion spends about 1.6% of total GDP on its healthcare infrastructure, is unprepared with its fragile and tattered healthcare facilities. The Covid-19 pandemic has left its impact on all sectors of the economy. Like other sectors of economy, Micro, Small & Medium Enterprises have been hit badly due to lockdown imposed by the government to tackle Covid-19 pandemic. Micro, Small &Medium Enterprises is the second largest employment provider after agriculture in India. The Growth Engine of The Nation is MSME sector. MSMEs were already struggling – in terms of falling revenues and capacity utilisation in the lead up to the Covid-19 crisis. Lockdowns have raised a question mark on the survival of many primarily. This paper covers overall impact of Covid-19 on MSMEs, the backbone of Indian economy and major constituent of India’s export.

 

KEYWORDS: Micro, Small & Medium Enterprises (MSMEs), Covid-19, Pandemic, Lockdown.


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