Impact of credit risk mitigation on Indian economy

As we evaluate the market scenarios in the present debt ridden market across all variable parameters in a geometric territory, we realise the importance of the right segmentation of market and its various variables which have both direct and indirect bearing on the citizens. With the market spread across different industry variables, be it media, services, industrial, banking and others sectoral variants, which have an immediate effect on all services and the people.

Some of the main components being affected with the on spread of the dreaded coronavirus, we need to relook at the economic pattern and the assessment tools, if the practices being adopted are the rightful ones or what is being done to fine tune the strategies with the deployment of best practices by nullifying the negative ones.

When we look at our own Indian model, we understand the market is diverse, with varied sectors dominating the industry. Are we able to address the revenue gaps and fill the not so fertile areas with a better people segment approach? As the market is divided into various strata based on the income primarily, as society is structured on income classes – upper class, middle class, lower income class.

If the income pool at the top is over saturated viz. the higher income class, are we ensuring a paradigm shift and looking at addressing the gaps of income in the middle and lower class. As seen, with the gaps widening, the gap between the rich and poor is further broadening and widening with no connect to each strata of classes. As all the classes are intertwined on an equal footing, we need to relook at those classes which have been neglected, affected and bipolarised specially during these tough times. Are our so-called economists, realigning the classes which need a boost? If not being met now, how are the practitioners going to address this issue which will divide the masses from the ruled and not the other way.

Well as income disparities exist, it can't bring down the lower segment just because of the money power. Are the opportunities for the talent pool used in different ways? What are the opportunities? Why are the younger generation more tuned for a brain drain? To exemplify, with observations from various audiences and experts, has the government addressed the issue of the Corona crisis with a contingency plan? With no back up to handle a pandemic of this magnitude, we are going further down in addressing future pandemics which can be larger than this. When stuck in a crisis, a common man with no income or the income generated not being met, looks for support from his or her government and its leaders.

The focus mostly in banks, and financial institutions is on the higher class. So how will the common man, a key component of the creamy layer, survive with no financial support or even a social security measure? While practiced at the time of election, why not continue during the crisis mode. Why can't the ruling power have a social security measure for every family else you may lose the sheen to the rest of the countries with a barren land and barren minds.

Bank offerings are not open to non- salaried class, credit cards are not issued to common man just because they don't have the earning metric. But why is the government sitting at the helm of affairs doing this ? Are you giving jobs to the women being harassed, are the youth being given academic boost by opening up the premier institutions, and the old who in most families don't have a roof top or food to meet their basic living? It's time to address this very strong ingredient/gap in the market. If we are not laying crucial measures at the fundamental level, how are we going to address the complexity?

Markets still sensitive during this pandemic phase, need a complete overhauling, to look into the overall spiraling up and levelling down index as financial markets are prone to the downward risks and its variants. With an array of potentiality to scale up the imbalances countering the isolation, we need to look into error analysis, by enhancing assets, cutting down liabilities which would spiral up the growth curve. Once this is taken care, the growth curve will shoot up by increasing the value quotient.

The Indian model incorporated during Covid 19 is almost concluding. Are we then looking at the big picture? Are we prepared to welcome another pandemic greater than Covid, if yes, then what are the steps taken in this regard to counter negations and build up positive equations. Are we prepared to look at all sectors on an equal footing with no disparity? Banking can be made more flexible with the reach to all than to a few elite, support women with flexible measures, just as credit is shooting up let there be a level-up by cross promoting the two to meet an equal footing, to exemplify if a bank is providing a woman a credit option, let there an option to use a flexible approach towards an investment either in gold or a fixed deposit scheme or recurring policy.

This evens the spend and offer facility. This helps one to spend on basic needs using credit and thereby with a flexible plan of investment, the bank is generating revenue. Most of the credit/loan companies during Covid made a lot of wealth. If banks stopped being investment platforms to its key stakeholders, what will the fate of a common man be like? One has to rest on loaners who are goons in exploitation including women and old in specific. The one key pointer I wish to reiterate is that if banks in India provide only salaried banking options, which is a mere 30 per cent, then who are the rest of your target audience who support you during elections? The rest of the cream are shown doors, threatened by loaners and left to a whirlwind. It's a wake- up call to both the ruled netizens and leaders thereby to know their rights and duties. If we as an economy need to function successfully, let's address this key issue which has a direct bearing on the growth trajectory of the country and not the leaders who are just elected leaders.

If we need to make this a reality, let's address the challenges. By securing our financial conundrum, balancing credits and debits, with the right practices we shall scale up the plateau. Unless practiced and implemented, the potential to meet a target is not met with. With direct approach open banking is a win-win, with an indirect approach - technological access, it may be a complete disconnect.

Banking can enhance the operations with various offerings to improve lending which can be flexible with open markets be it people or institutions. As our pandemic observations almost come to a close, with fresh insight and practical connected measures, best results shall be garnered. With credit forecasting, enterprises or individuals address an important gap in existing risk mitigation tools by analyzing business enterprises on credit performance with sustaining localized economic growth shooters. With this applicability, a market remains just not successful but healthy and vibrant as it answers the gap of the have-nots and haves thereby moving from part to the whole.