The year 2020 has carved a niche for itself in recent history in terms of the sheer disruption and unexpected chaos it brought on. But beyond its reputation as one of the darkest years of our time, 2020 also offered a few pleasant surprises.
Our increasing reliance on technology paid off, and it was one of the biggest allies in our fight to keep businesses going and productivity levels high. But, despite our best efforts, many businesses accumulated formidable losses and caved under the pressure of the pandemic.
It’s hard not to compare the global disruption caused by the COVID-19 pandemic with the 2008 Lehman Brothers crisis and the chain of events it triggered. Back in the day, the crisis had led to a shift in the economic regime, calling for stark changes in the way business and governance was being done. We’re at a similar juncture today.
Even before the pandemic hit, India’s banking system was grappling with systemic issues, like the rising levels of non-performing assets (NPAs) as well as the impending global slowdown. The threats looming on the horizon were already very real and disturbing.