Hi arvind.. Seems interesting.. Please care to share a sketch along with the orientation of the site for further help with the planning

I agree that your small room can look beautiful. Your floor looks clean, and it is obvious that you wash laundry. Wash your shelves and dry them with a cloth. If your clothing will not get mildew, fold it neatly or roll it (fewer wrinkles) to store it on your shelves. Stack your books and papers neatly - either flat or vertically, depending on the moisture/humidity level of the air in your climate. I see that the wooden bed and another piece of brown wood furniture might benefit from some cleaning followed by an application of furniture wax. I see that the pink base for the desk/table by the bed would benefit from wiping with a damp cloth. Wipe off all surfaces of your chairs. I see that the wall near floor level is discolored. Find out what might be done to clean this. You can make this room clean and beautiful! Best wishes for success.

If your living room on a separate area so you can place a furniture in 2 ways ( 1st is Modern sofa & Table ) 2nd is Traditional Look Sofa & table & If your living room is near by kitchen or a Hall type area you can place sofa set with table & Dining table for 6 people's

First of all sort out and clear the unwanted objects, paper piles, tables if any and chairs .after that you can see that the room will have more space. And the curtains can be small sometimes because of this bug curtains the room might look very dirty or clumsy . so, get rid of unwanted stuff.