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The gradual economic opening – editorials


On Tuesday, Prime Minister Narendra Modi announced that states, districts and subregions, which are doing relatively well in the battle against coronavirus disease, will see a partial relaxation of restrictions starting April 20. On Wednesday, the Center released a list of activities to be allowed, and to continue to be prohibited. The general approach of the government is threefold. The first focuses on rural incomes and food security. This explains the decrease in restrictions in agriculture, livestock, livestock and fishing. Construction and infrastructure in rural areas and work will also be allowed under the employment guarantee scheme. The second focus is on supply chains, which is why it has been reiterated that the transport of all goods and electronic commerce operations are allowed. And finally, there is, but only a slight one, openness to industrial activities, in special economic zones and selected manufacturing plants.

There are three challenges. One, the extent of where these activities will be allowed will be known on April 20. Two, these activities are not enough to restore the economic engine, but given the limitations, they are a good first step. And finally, it will be difficult to implement them if local authorities do not have a proper understanding of the permitted activities. Sensitize them. This experiment in gradually opening up the economy is critical.

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