COVID-19 virus has resulted in the lockdown of schools, offices, factories, temples, railway stations, and even the airspace. It is estimated that due to the lockdown, the Indian economy may face prolonged adverse impact. The paper is an attempt to ascertain the impact of lockdown on the Indian economy and explore future perspective. The study has addressed important issues like consumption expenditure, demand & supply, unemployment rate, purchasing power, financial market, etc. Under the given circumstances, the lockdown will cost India around USD 120 bn. The manufacturing and service sector has come to an abrupt stop and interrupted domestic supply chains. If this crisis continuous it will indirectly affect all economic sectors. The study has given suggestions as a learning curve which can be used by different stakeholder to improve the economic situation of the country and minimize negative effect of lockdown.