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India’s GDP registered a growth of 8.2 percent in the second quarter, which is considered to be the strongest growth among major economies. Government’s Chief Economic Advisor V. Anantha Nageswaran says that the growth in the current financial year 2025-26 will be 7 percent or more. High frequency data like agricultural production, non-food credit and PMI are pointing towards strong demand.
New Delhi. India’s growth story seems to be moving forward strongly this year also. Government’s Chief Economic Advisor V Anantha Nageswaran said that the country’s GDP growth is expected to be 7 percent or more in the financial year 2025-26. This estimate has come to light when the Indian economy has gained tremendous momentum in the quarterly data.
According to government data, GDP growth in the second quarter from July to September was 8.2 percent, whereas in the first quarter it was 7.8 percent. That means, in the first half of the financial year, the economy has registered a strong overall growth of 8 percent.
India’s growth ahead of the world
In the press conference, Nageswaran said that India’s economy is still growing faster than the big economies of the world. He says that agricultural production is at a record level in 2024-25, non-food credit in the banking system is continuously increasing and most of the high frequency indicators from PMI to freight movement are showing good growth. He said that both rural and urban demand remains strong and stable inflation has supported the savings of households.
Impact of tariff shock still exists
CEA acknowledged that the impact of high tariffs imposed by the US government on Indian goods is visible. He said that our exporters have tried their best to find new markets, but despite this, some negative impact remains. Nageswaran said that the benefits of huge investment in physical and digital infrastructure in the country in the last 10 to 11 years are now clearly visible.
Strong start to Q3, employment situation stable
He told that the beginning of the third quarter has also been good and the indicators related to employment are showing stability. According to the data released by the government, growth of 8.1 percent in the secondary sector and 9.2 percent in the tertiary sector has further strengthened the GDP.
IMF’s estimate is in favor of India
IMF has clearly said that only India among the world’s major economies will be able to achieve growth of more than 6 percent in 2025-26. Global trade is expected to remain under pressure due to US tariff policies, but India seems to be in a position to maintain the fast pace even amidst this challenge.
