India's GDP growth likely to stay strong in Q2FY26, say economists

Economists say the effect of a low deflator and low base is likely to boost expansion

With India’s gross domestic product (GDP) growth accelerating to a five-quarter high of 7.8 per cent in April-June 2025, economists reckon the headline figure will stay strong well into the second quarter. 

This is because the effect of the low deflator and the low base is likely to boost the GDP figure again and the impact of American tariffs is expected to be felt only after September. 

The Reserve Bank of India (RBI) in August had estimated a “slight uptick” in growth in the second quarter (Q2) because it projected the rate to hit