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India’s real GDP is estimated to grow by 7.4 % in FY 2025-26

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     The Ministry of Statistics and Programme Implementation (MoSPI) has released the First Advance Estimates of Gross Domestic Product (GDP) for the financial year 2025-26, showing robust economic performance and continued expansion across major sectors.

According to the National Statistics Office (NSO), India’s real GDP is estimated to grow by 7.4 % in FY 2025-26 at constant (2011-12) prices, up from 6.5 % in FY 2024-25. This growth reflects strong momentum in private consumption, investment activity, and services output, highlighting resilience in domestic demand.
In nominal terms, GDP is projected to expand by 8.0 %, reaching approximately Rs. 357.14 lakh crore, compared with Rs. 330.68 lakh crore in the previous year. Real Gross Value Added (GVA), which measures output across production sectors, is estimated to grow by 7.3 %. The services sector remains a key driver of growth, with Financial, Real Estate & Professional Services, Public Administration, and related tertiary activities expected to see strong expansion. Trade, hotels, transport and communication services are also projected to grow healthily, supporting overall economic dynamism.

The secondary sector, including manufacturing and construction, is estimated to grow at 7.0 %, reflecting ongoing industrial activity and infrastructure investment. Meanwhile, agriculture & allied activities are estimated to grow by 3.1 %, and utility services by 2.1 %, indicating moderate performance in these areas.

On the expenditure side, Real Private Final Consumption Expenditure is estimated to grow by 7.0 %, while Gross Fixed Capital Formation (a key investment indicator) is expected to expand by 7.8 %, up from 7.1 % last year. These early estimates suggest that the Indian economy is maintaining a strong growth trajectory, supported by broad-based activity across sectors. MoSPI has noted that these figures are preliminary and will be revised in the Second Advance Estimates due on February 27, 2026.