INDUSTRY BODY FICCI has conducted a study on the impact of COVID-19 or coronavirus on the Indian economy.
Based on the study, accessed by TelevisionPost, FICCI notes: “Cancellation of IPL matches alone could mean a loss of Rs 10,000 crore (Rs 100 billion) for the industry.”
While FICCI did not break down how it arrived at that figure, it is to be noted that revenue the IPL generates comes from gate receipts, sponsorship and media rights, franchise revenue and players fees as well as hospitality and travel-related costs.
The biggest hit will of course be taken by the Board of Control for Cricket in India (BCCI), the organizer of the tournament.
The report notes that in some parts of the country like Kerala, Jammu and Kashmir, Delhi, Karnataka and Mumbai, cinema theatres, shopping malls, and gyms have been closed till March 31st to stop the spread of the virus.
FICCI noted that the Indian economy has been experiencing significant slowdown over the past few quarters. In the third quarter of the current fiscal, the economy grew at a six-year low rate of 4.7%.
“The new coronavirus epidemic has made the recovery extremely difficult in the near to medium term. The outbreak has presented fresh challenges for the Indian economy now, causing a severe disruptive impact on both demand and supply side elements which has the potential to derail India’s growth story,” the industry body states in its report.
