The coronavirus pandemic has impacted every sector of the economy that can have consequences that are long-term and difficult to get rid of. The after-effects of the pandemic are expected to linger in the future too. In this situation, it is important to see the resilience of our economy and how fast it can recover from the impact of the pandemic across sectors. The growth forecast of the economic sectors has to be relooked because of the advent of the Covid-19 second wave. India’s current financial year’s growth forecast is 9.3% as Covid-19 slowdowns the economic recovery and builds the risk of long-term effects. 

While Ind-Ra revised the GDP growth forecast-FY22 to 10.1% that was 10.4% earlier. The revision was made assuming that the second wave of coronavirus will subside in the mid-May of 2021. As per Ind-Ra, the GDP’s demand-side or expenditure of government final consumption and private final consumption is expected to reach 11.0% and 11.8% respectively in the Financial Year 2022. 

Similarly, the earlier forecast of SBI growth is revised downwards. The revised projection of SBI FY22 stands at 14.3% nominal GDP and 10.4% real GDP. 

It is extremely essential to understand what must be done by the SIP Mutual Funds in the present scenario. The pace of regular investments made by investors in SIP Plans has been greatly affected. People have been holding up their investment in SIP India that has resulted in lower returns for many investors. In general, the economic situation of a country is a cyclical outcome that depends on its resilience to bounce back after every dip. A country’s resilience is expected to be higher if the following tips are taken into consideration:

• Demographic- The risk-taking ability of the younger population of a country is greater as they have lesser responsibilities. Therefore, younger people must start investing in SIP Mutual Fund for higher returns in the long run.
• FDI inflows- the UN report stated that India accounted for the inward FDI inflows of 77% in the year 2019 in South-West and South Asia (51 out of 67 Billion UD). 
• Digitalization- The Information and Communications Technology or ICT receives the majority of FDI inflows. The Jan-Dhan Aadhar Mobile has also increased financial inclusion in the country. 
• Reform Agenda- India can accelerate reforms.

India is considered as the top resilient country in the entire South-West and South Asia as per the UN report. Therefore, a downturn of economic growth must be taken as a chance to invest more as the country has the ability of resilience.  

You can use the following SIP Investment tips or rules to benefit the most:

• You must be careful in making investments in times of economic crisis. The best way to avoid losses is by periodically updating your portfolio. To enjoy higher returns in the Systematic Investment Plan, you must stay disciplined and patient.  
• You must always link a goal to your SIP Investment India policy so that it keeps you going and focused on one goal at a time. You must calculate the amount required to be invested and the time to attain the financial goal with the help of the SIP India calculator. You can calculate the amount of money you need to invest regularly to get higher returns on the SIP Mutual Funds. It is necessary to hold on to your investments and remember that SIP Plans have a longer tenure. Therefore, the economy of the country will balance out in the future. 

When you stay invested in SIP Mutual fund, the market identifies you ensuring continue and sufficient cash flow to its fund manager. It is wise to stay invested when the market is going through correction even if one avoids investing fresh cash. The second wave of the deadly virus has put a lot of pressure on the citizens to have a higher emergency burden for emergency medical needs. The investor interest is low and is expected to recover when the covid-19 cases start to come down. The Large & Mid Cap, Mid Cap and Large Cap witnessed significant flows. Many investors have been holding back their investments anticipating the market correction. The SIP Investment India is considered the most popular investment plan in times of covid-19 crisis because of its ability to give higher returns in the longer term. There are many different types of SIP Plans available offering different set of benefits and risks. Therefore, investors must determine their goals and then choose the correct Systematic Investment Plan as per their requirement. A few mutual fund houses have also begun offering insurance covers or group term insurance with the SIP Plan viewing the current scenario. The beneficiaries of the term insurance are investors aged between 18-51 years. SIP investors can avail these insurance covers without having to undergo any medical examination.