India’s economy is expected to grow at 7.4 percent in the financial year 2025‑26, according to the government’s first advance GDP estimates. This is higher than last year’s growth of 6.5 percent, signaling a strong economic recovery.
The nominal GDP, which factors in price changes, is projected to rise by 8 percent. The services sector is leading the growth, driven by finance, real estate, trade, transport, and communication. Manufacturing and construction are expected to expand around 7 percent, while agriculture may grow at about 3.1 percent.
Despite global economic challenges, strong domestic demand, investments, and supportive policy measures are helping the economy stay on track. These estimates will guide the upcoming Union Budget, offering a roadmap for fiscal planning in the year ahead.
This early outlook reflects India’s resilience and continued momentum, keeping the country on track for steady growth in FY26.