Coronavirus: 13.5 crore people in the country will be unemployed and 12 crore will be poor

The Corona virus epidemic has proved fatal to the economy, a report said, adding that if Corona could snatch jobs from 135 million people in India, 120 million people would fall below the poverty line, with the opposite effect on income, expenditure.

According to Arthur de Little, an international management consulting firm, the worst effects of the corona virus will be on the weakest people in India. And GDP will also decline sharply.

Given the steady rise in the number of Covid-19 cases, we anticipate a W-shape recovery in India, which will lead to a contraction of 10.8 per cent in GDP in FY20-21 and 0.8 per cent in 2021-22.

The number of coronavirus cases in India has crossed 90,000, and 2,800 people have died in the country so far.

Unemployment in the country could rise from 7.6 per cent to 35 per cent, cut off employment for 136 million people, and leave 174 million unemployed.

The campaign to lift people out of poverty will be tweaked, and about 120 million people will become poor, while 40 million people will become extremely poor.

Arthur de Little's India and South Asia Managing Partner and CEO Barnick Chitran Mitra said India is growing with an estimated 10.8 per cent contraction in FY21 with a W-shape recovery, which would cost India 1 Dollar  trillion.