These Sectors Will Recover Fastest From Covid19 Impact In India: IT, Banks, Auto & More
The COVID-19 pandemic severely impacted several industries in India, creating a dent in their operations and businesses. Employees were fired as organizations suffered losses; but as the lockdown has been lifted, operations are gradually gaining momentum.
There are some sectors that have estimated to recover by September 2020, while others aren’t so confident about such a fast revival.
To find out which sectors will be reviving after the COVID-19 in India, read on!
Banks, IT Industry, Automobile Industries Optimistic About Growth
Reports suggest that companies in the auto, agri-chemicals, consumer goods, and NBFC sectors have observed a speedier revival in rural areas. There is easier availability of finance in rural areas, thus leading to an increased inquiry of cars and two-wheelers, despite the sales volumes remaining low.
As per reports, many of the banks are of the opinion that meaningful credit growth recovery will happen after 18 months at the most, whereas there is ambiguity about asset quality.
Insurance companies have also faced a fall in the demand for savings proxies. Also, there has been a weak growth in credit for credit protects products.
On the other hand, the automobile industry has more hopes of a faster revival. In fact, they are confident that the industry would recover by the next quarter itself.
Whereas, the IT industry has quite a few projects and deals in the pipeline, but are saying that the conversion timeline is not known for sure.
Cement And Building Material Industry, Oil And Chemical Industries Estimate Growth
As per reports, agrochemicals, pharma, FMCG staples, paints, steel, gas and lubricants segments are steadily coming back to normal.
Then there is the cement and building material industry has already observed a revival in the last couple of months. Also, there is a healthy pricing trend that is expected to increase in the recent future.
The oil and gas businesses are already showing positive signs, and are gradually coming back to their pre-COVID-19 state.
The pharma and agrochemical companies haven’t talked about COVID-19, but the agrochemical industry has said that they are expecting a growth of more than 15 percent YOY in the upcoming financial year 2021.