COVID-19 has been predicted to be worse than the Great Depression of 1930. Pessimism hangs heavily throughout. When people hear the name Covid, they are afraid. COVID-19 halted social and economic activity. This study aims to examine the impact on affected sectors such as aviation, tourism, retail, capital markets, MSMEs, and oil. International and internal mobility is restricted, and the income generated by travel and tourism, which contributes 9.2% of GDP, will significantly affect the GDP growth rate. The rupee is steadily weakening. MSMEs will face a severe financial shortage. During the crisis, there was a horrific mass departure of this floating population of refugees on foot, despite a nationwide lockdown. Their primary concerns were job loss, daily rationing, and the lack of a social safety net. India must reconsider its development model and make it more inclusive.