BH CORRESPONDENT, New Delhi: Anand Mahindra, the chairman of the Mahindra Group, has said that the coronavirus pandemic will leave behind a global recession. In a series of tweet, Mahindra chairperson has also said that the greatest toll of the expected recession would be on small-scale businesses and self-employed daily-wage workers.
‘The virus will eventually be conquered, but it will have left behind a global recession. The costs of that are incalculably high at this time. The most fearsome toll will be on small businesses, the self-employed & those whose lives depend on meagre daily wages,” he said.
The virus will eventually be conquered, but it will have left behind a global recession. The costs of that are incalculably high at this time. The most fearsome toll will be on small businesses, the self-employed & those whose lives depend on meagre daily wages. (1/4)
— anand mahindra (@anandmahindra) March 19, 2020
Apart from the toll on lives, the legacy of COVID-19 may well be deaths due to stress, loss of livelhoods, a rise in homelessness & in extreme situations, civil unrest, he added.
“The only global experience that has lessons for us in the current situation is the last world war. In the aftermath of WW2, the US came up with the Marshall plan to revive Europe, effectively a giant fiscal pump-priming,” Mahindra said.
In the US, the government dramatically dismantled regulations and opened up the economy to trade and these actions led to a boom-cycle that stretched to 1975, he said in the tweets.
“This time, there will be no victors, only the vanquished. So every country will have to create its own Post ‘VirusWar” Marshall plan & take care of those in society who are hit the hardest. Perhaps we too can build the foundations of a sustained global growth cycle,” he concluded.