India's economy falls sharply in fiscal 2020

India's economy shrank in the year through March due to restrictions to stem the coronavirus.

The government said on Monday that GDP contracted by 7.3 percent in fiscal 2020 compared to the previous year.

Growth was down across a wide range of sectors, including services, construction and manufacturing. A nationwide lockdown starting in March 2020 brought economic activities to a halt.

But the picture is not all gloomy. GDP expanded 1.6 percent in the 3 months to March. It was the second consecutive quarter of growth.

The Reserve Bank of India, the country's central bank, says it expects the economy to grow 10.5 percent this fiscal year.

But the number of Covid cases surpassed 400,000 on many days in May, prompting restrictions on outings across the country.

India is second only to the United States in terms of number of infections. There are many concerns about the lingering impact on the economy.