Webinar with Rachna Dave (0800RACHNA) on May 6 at 7 pm
Venkat Raman
Auckland, May 3, 2020
New Zealand will eventually reach the post-Covid-19 stage but there is growing fear among businesses, investors, professionals and self-employed people over the state of the economy.
While the government has provided a few incentives such as the Wage Subsidy Scheme, Business Finance Guarantee Scheme and the ensuing Small Business Cashflow Loan Scheme, whether these would suffice to revive the economy remain to be seen.
Tony Alexander, one of the foremost economists of the country, will provide an outline of the shape of things to come at a Webinar to be held from 7 pm on Wednesday, May 6, 2020.
Organised by Rachna Dave of 0800Rachna, the event is free to attend.
Following are the login details:
https://barfoot.zoom.us/j/98499291857?pwd=Uk0xU0c3VGY5bHNzNC9QRS9JUkphdz09
Meeting ID: 984 9929 1857
Password: 371294
In his analysis of the economy on April 30, 2020, Mr Alexander advised businesses to slim down to a level which will allow them to operate under recessionary conditions on a sustained basis.
He advocates a less-risky strategy than punting on an upturn timing and risking getting it wrong. “That is not a mistake you can afford to make now,” he said.
Caution on Contracts
Mr Alexander said that businesses should be wary of signing new output contracts with penalty clauses for late delivery.
“Supply chains have been heavily disrupted around the world and there is a far greater risk that vital inputs are not available in time over the coming year than at any previous time for the past few decades. For many businesses, even if the economy surprises with its strength early in 2021 because of the weight of money the government will throw around, that may not be enough to secure your viability,” he said.
He cautioned businesses against placing family homes as security for extra financing.
Societal improvement
Mr Alexander predicted what is now a reality- a general societal improvement in sentiment since the country moved down to Alert Level 3 on April 28, 2020.
There were happy stories in the media, people hugging each other as bubbles were slightly expanded, men, women and children enjoying their favourite takeaways for the first time in a month, and people kayaking and surfing without fear of the Police telling off.
“We are celebrating some increased freedom and most of us will be looking forward to near normal freedom come Alert Level 2 which we will expect to happen just before Budget Day on May 14, 2020 or thereabouts. When that happens even more happy stories will appear.
“We will eventually see the release of spot data measures showing big jumps in retail spending, people moving around the place, busier roads. We will plan bookings for domestic travel and look forward to the trips and visits,” Mr Alexander said.
According to him, opening the border with Australia will accrue some of the A$ 65 billion which they spent overseas each year.
Budget 2020
Mr Alexander said that the government’s Budget 2020 will produce big, new spending initiatives which will go a long way toward kickstarting growth in the economy.
“But this embracing of personal and societal freedom, and economic bounce-back from the obvious destruction of a lockdown, will not represent a new good upward trend for the economy. It will not lead to a radically altered outlook for the aviation and travel industries. It will not stop a high number of retail and hospitality establishments from closing. It will not stop shrinkage in the construction sector over the next two years. It will not stop businesses generally reluctantly acknowledging that they have sunk too far and are no longer in a viable long-term position,” he said.
His vision into the future of the economy enables Mr Alexander to suggest to businesses to exercise care and not be trapped into thinking they can get by with only some traditional cyclical cost-cutting and a bit of overdue restructuring.
“Over the next four weeks, this will still be the same greatest economic downturn for us and the world economy since the 1930s as we were talking about when, in highly pessimistic and frightened moods, we entered lockdown on March 26,” he said.
You can listen to him explain more at the Webinar on May 6, 2020 and seek clarifications.
About Rachna Dave
Rachna Dave is a mortgage and insurance advisor with a difference.
She believes in transparency, accountability, integrity and honesty as the core principles of service delivery, focusing on bringing the best to every customer she serves.
There are hundreds of them spread across the country- recipients of home loans, commerce loans, car loans, and life insurance policies.
“I am happy to guide my clients how to work smart, not hard, to own their homes and develop a portfolio of properties within 10 or 15 years to bring regular income, and be a secured source of revenue on their retirement,” Rachna said.
Understanding needs
Her ability to understand the needs of customers and provide them tailored solutions has made Rachna a source of endearment to customers.
Her strong commitment to the marketing planning process and effective execution of strategies and plans have contributed to the success of the business.
The plans also incorporate innovative approaches designed to build awareness and trust in the capability of the 0800Rachna brand.
Rachna is passionate about empowerment of women, inspires confidence and helping them to understand the implications of loans and how to repay them early.
Awards for Excellence
She won the ‘Best Financial Advisor (Mortgage) of the Year Award’ at the Tenth Annual Indian Newslink Indian Business Awards on November 27, 2017. It was the first to be won by a woman of Indian origin.
She was the recipient of the ‘Business Excellence in Marketing Award’ at the Twelfth Annual Indian Newslink Indian Business Awards on November 25, 2019.
“Rachna’s vision is to enable her clients to gain financial literacy so that they can make informed decisions. Her approach allows her to walk the journey with her clients by understanding and analysing their situation, then guiding them through customised advise to reach their financial goal,” the independent panel of judges said.
Rachna can be contacted on 0800-RACHNA (0800-722462).
