This conjuncture has exposed all states to internal and external vulnerabilities. Adapting to an unsettled future will require recasting national priorities and reimagining models of governance. In this context, the manner in which India manages its internal and external challenges within its constitutional democratic framework will have significant implications for the emerging world order.
And yet, the challenges stemming from this pandemic are greater in India than in many other
countries. An economic slowdown that predates the pandemic is overlaid with the pandemic’s
fallout.3 Essentially, India faces a compounded crisis.
The pandemic has deepened existing fault lines in the Indian economy. Moreover, India will now have to deal with unpredictable changes in trade, investments, private consumption, and government expenditure. Fiscal policy will need to grapple with the extent and limits of the state’s ability to raise and deploy resources. Monetary policy will need to be much more adaptive, and will need to find new ways to be effective in these precarious times. India will also need nimble trade policies that respond to fast changing trends in global commerce.

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