Affected supply chains are resulting in an economic recession which has a multiplier effect on jobs around the world. The companies, industries and agencies are vacating the seats and rearranging their business models according to changing dynamics. The International Labor Organization has assessed that 25 million jobs will be declined and 35 million people will be pushed below the poverty line due to the decline in economic activities. In this scenario, many services have been able to go digital such as E-learning, online fitness services, online shopping and telecom applications. But at the same time, there are various industries that cannot provide online services for example tourism industry. Many business models cannot be transformed into digital models due to which the number of unemployed persons is increasing day by day. These predictions are portraying the dismal picture of the economic trajectory. Moreover, the severe lockdown has led to a decrease in consumption rate and consumers have also changed their consumption patterns. The declined demand and supply rate have decreased the efficiency of every business and its associated activities.
In this uncertain crisis, the definite calculations about the effects of Covid-19 on the economy are not possible. The OECD has forecasted the global economic growth falling to 2.4 % in 2020 compared to 2.9% in 2019. These economic predictions are manifesting in the form of sluggish growth of the industrial sector, halted travel business, reduced revenue generation and increased unemployment throughout the world. With a decreasing graph of economic activity, the chances of a global economic recession are increasing which is affecting the masses as an indirect effect of coronavirus pandemic. The world is trying to adapt to this novel situation and policymakers need to design a definite plan to cope with such a natural disaster.