GDP Growth

PM cites India's 7.8 per cent June-quarter GDP growth to renew his Swadeshi pitch, urging citizens to embrace self-reliance and sustain economic momentum

Prime Minister Narendra Modi on Tuesday applauded the country's people for the 7.8 per cent GDP growth rate, calling the feat particularly impressive, coming against the backdrop of global turmoil, geopolitical conflicts, and supply chain disruptions. In a video message on Instagram, the prime minister also slammed those spreading "jhooth ki goonj" (an apparent riff on Rahul Gandhi's 'Chhatron ki Goonj' campaign), saying the latest GDP growth rate tore through the narrative of "pessimism" about the Indian economy. Modi said India must maintain the growth momentum and continue working towards greater self-reliance and 'Swadeshi'. "We must maintain this momentum. We must keep moving forward, and for that, becoming Atmanirbhar Bharat is essential," he said. The prime minister said if people continue to stress on Swadeshi and self-reliance, the country's youth will be presented with a developed India in the 100th year of Independence. He also asked people not to go for foreign holiday

India's economy has shown resilience despite tariffs and the West Asia conflict, with strong domestic demand, healthier balance sheets and investment supporting growth

The data from the expenditure side showed that private final consumption expenditure increased 7.1 per cent during the quarter, an improvement over the previous year but below the headline rate

The prime minister said that India's exemplary GDP growth during Q1 of FY 2026-27 is a "herculean feat"

Finance Minister Nirmala Sitharaman says India can maintain its growth momentum despite geopolitical uncertainties and supply-chain disruptions

Risks to the outlook for Asia's third-largest economy, which imports more than 85 per cent of its oil, have increased as crude prices are above $90 a barrel and may climb higher

Gupta also sounded confident about India's external accounts, saying it will be 'much more conducive'

But warns El Niño, geopolitical woes may weigh on momentum

India Ratings & Research on Tuesday projected India's GDP growth to slow down to 6.8 per cent in the current fiscal year, as against 7.6 per cent in the previous year, citing risks from fuel and food inflation stemming from West Asia conflict's uncertainty, weak currency, and the likely impact of El Nino on agriculture. The FY27 GDP growth projection at 6.8 per cent is a tad higher than the 6.7 per cent growth Ind-Ra had projected in May. Earlier this month, the Reserve Bank of India (RBI) had raised growth projections from 6.6 per cent to 6.7 per cent citing resilient domestic economy. The domestic rating agency said it now estimates average crude oil price at USD 85/bbl in FY27 compared to USD 95/bbl in May 2026. It expects rupee-dollar exchange rate to average Rs 93.98 (May 2026: Rs 94.28), a depreciation of 6.4 per cent YoY, in FY27. Fitch Group subsidiary Ind-Ra estimates capital flows of USD 70 billion under foreign currency non-resident (bank) (FCNR B) and external ...

SBI's nowcasting model showed 86 per cent of 54 high-frequency indicators accelerating in Q1FY27, while government capital expenditure remained supportive in the quarter

The International Monetary Fund (IMF) in its World Economic Outlook for April 2026 noted India's nominal GDP at USD 3.92 trillion for 2025-26, which makes India the sixth-largest economy in the world, Parliament was informed on Tuesday. "The IMF's rankings are based on nominal GDP measured at prevailing US Dollar exchange rates. Consequently, the relative ranking of economies can change due to a combination of factors, including economic growth, movements in exchange rates and prices, revisions to national accounts and changes in the size and growth of other major economies," Minister of State for Finance Pankaj Chaudhary said in a written reply to the Rajya Sabha. The government has adopted a broad-based strategy to enhance the growth potential of the Indian economy, he said. The strategy focuses on enhancing agricultural productivity, promoting manufacturing through initiatives such as the Production-Linked Incentive Schemes and relaxing Quality Control Orders, strengthening MSMEs

Fitch Group company BMI on Tuesday projected India's growth to slow to 6.6 per cent in the current fiscal as the boost to the economy from last year's GST reforms wanes and elevated inflation erodes household income. The Indian economy grew 7.7 per cent in financial year 2025-26. India remains Asia-Pacific's fastest-growing large economy, but the risks lie to the downside, mainly from a re-escalation in the Middle East or a weaker monsoon, BMI said. It said India's growth will slow in FY27 as the fiscal boost from GST reforms fades and inflation remains elevated, averaging 5.4 per cent. "We expect growth to moderate from 7.7 per cent in FY2025/26 (April-March) to 6.6 per cent in FY2026/27, as the lift from last year's Goods and Services Tax reforms wears off while elevated inflation erodes household incomes," BMI said. As part of the GST reforms rolled out in September last year, tax rates on 375 items were cut and GST was rationalised from a 4-tier structure to virtually 2 slabs

Domestic private companies accounted for 86 per cent of investment announcements between April 1 and August 5, while ITES led with Rs 14.98 trillion in proposed capex

NITI Aayog Vice-Chairman Ashok Lahiri says India must sustain 9.25 per cent annual nominal growth for 21 years, backed by reforms, to achieve developed-country status by 2047

The RBI is more likely to use temporary liquidity absorption tools than tighten its policy stance or rates ahead, while system liquidity should improve as government spending accelerates.

Any further policy tightening is likely to remain contingent on a sustained rise in energy prices or evidence of broader, demand-driven inflationary pressures.

The Fitch Solutions unit says higher food prices could push up inflation and curb GDP growth as El Niño and West Asia tensions threaten agricultural output and input costs

Thirty-five years after the 1991 reforms, India needs a new reform wave focused on deregulation, stronger state capacity, judicial efficiency and faster growth

Economic activity rose to a 32-month high in June, but Icra expects GDP growth to moderate from 7.8 per cent in Q4 FY26 amid pressure on margins in key sectors