After ravaging the country for almost two months, the second wave of the pandemic seems to be finally receding—a crucial development that raises expectations of gradual reopening of economic activity. While the caseloads are still high and there are significant imponderables about infection spread, questions abound about what could be the likely fallout of the second wave on the economy as it reopens after extended regional lockdowns to contain the viral spread. At the outset, the economy is flashing mixed signals. Among the positives include the robust growth of India’s exports since December 2020, as global recovery, particularly of advanced countries, has given export buoyancy to India. A sustained rebound in exports would help the Indian economy at a time when domestic demand is under significant strain.