The future of Finance: Will 2021 see spectacular highs or dismal lows like 2020?

How will the financial sector shape up in 2021? If there is one lesson that 2020 has taught us, it is that forecasting, even for a short horizon, is a risky business. In general, extrapolating the current indicators, given the understanding that we have developed and theories we have advanced, we can form reasonable expectations about the near future. The COVID-19 shock has shaken it all up. The uncertainty is so high, its nature unknown, that it is difficult to visualise even the near future. Yet, there is some merit in trying to think about the future — it helps us to take stock of the current situation and ponder over the policy options available.