India's GDP Contracts By Record 7.3% For Year, Q4 Showed Revival

India's annual economic growth rate picked up in January-March compared with the previous three months. However, economists are increasingly pessimistic about this quarter after a huge second wave of Covid-19 infections hit the country last month. A slow vaccination drive & local restrictions after a massive second wave of infections & deaths across the country have hit economic activities like retail, construction & transport while putting millions out of work. India has recorded 28 million Covid-19 infections, second only to the United States & 329,100 deaths as of May 31, although the rise has begun to slow. Gross domestic product grew 1.6 per cent in January-March compared with the same period a year earlier, mainly driven by state spending & manufacturing sector growth, data from the statistics ministry showed on May 31. Economists have cut their growth forecast for the fiscal year that began in April to 8 per cent-10 per cent from an earlier 11 per cent - 12 per cent. Watch the video to know more.