Mumbai, April 19, 2020: In the midst of the Coronavirus (COVID-19) pandemic, Kroll, a division of Duff & Phelps, a global leader in risk mitigation, business intelligence, investigations, compliance, cyber resilience, security and incident response solutions, has launched the Kroll COVID-19 Heat Map.
The Heat Map provides business leaders around the world a snapshot of forecasted economic impact. It monitors/shows the impact the COVID-19 pandemic and the associated government responses is having on macro economy and key sectors.
India moved to a 21-day complete lockdown from 25 March 2020 and the same was recently extended to 3 May 2020. While the lockdown is critical to ensure that the virus is contained, it has severe impact on the economy. Our observation of the impact of COVID-19 on India through our heat map indicated that:
- The manufacturing sector has now been on a four-month low owing to the nationwide lockdown and will continue to suffer a significant impact in the coming months. Automobile, aviation, cement, construction, electronics, real estate and textiles has been the most affected.
- Pharmaceutical and health sector have been the most active as the production of drugs and medical equipment has gone up to meet the increase in demand. Financial Services and IT though impacted, remain active and continue to support the ecosystem.
- Disputes arising as businesses seek to take advantage of the current disruption to renegotiate contracts, dismantle joint ventures and default on obligations, and this may result in fraud or corruption.
Created to track trends across regions over time, the heat map will help decision-makers spot developments to inform and drive operational strategies. It is the result of open-source and government data research and insights from Kroll’s global team of analysts.
Says Tarun Bhatia, managing director and head of South Asia in the Business Intelligence and Investigations practice of Kroll: “The last two months have been a downward trajectory for global economy due to COVID-19. In India, it has impacted businesses by disrupting production and consumption, supply chain, travel, threatening operations and financial markets. Businesses are undergoing a period of uncertainty as they negotiate both health and economic crisis. The COVID-19 Heat Map developed by Kroll aims at providing business leaders with insights on how global operations, supply chain and stakeholders are impacted and likely trends in the future. This will prove to be a helpful tool for them to monitor the situation and switch to new strategies in line with the current landscape.”