Bamboo roller blinds are an inexpensive fix. They can be cut to fit and have a decorative look.

house is good in white. ensure you choose off white colour such as cotton woll and not brilliant white whike repainting. Gate in black. boundary wall in mud colour. overall it would look like a spanish villa. only thing missing is a big olive tree or a palm tree

Thanks everyone, I'm planning to get my floor tiled up soon, and then later the whitewash. So before all that, I wanna do away with the construction part, if required to transform this hideous corner. I had the roller blinds in my mind to hide these iron windows, but I will also look at options for changing them windows entirely if budgets allow. I might have to use some false ceiling work as well. Posters, I don't think can find space here, but a lounger sofa-bed is a surething with some nice lights. Please do share some pictures of the lights and loungers and floor tiles if you may, for suggestion. I'll be obliged. Thanks again!

Thanks Rupal for valuable suggestions. I'm still not sure about the final layout and want to explore more on this. Do we have someone who has designed something similar. I understand that things will be more clear when we come out of drawing board and start implementing ideas. Hope to get more ideas from experts here.