The strong 7.8 per cent GDP growth recorded in the April-June quarter of 2025-26 (Q1 FY26) reflects the basic resilience of the Indian economy and the strengthening of its growth momentum, a senior government official has said. Anuradha Thakur, Secretary in the Department of Economic Affairs, told the media that the growth is broad-based and supported by healthy performance across sectors.

“On the supply side, we have seen all-round growth. On the manufacturing, construction and engineering side, activity has been robust,” she said. “Agriculture, too, has performed strongly, with the rabi harvest and kharif sowing both exceeding last quarter’s levels. We have good buffer stocks, supported by good rainfall,” she added.

Official GDP data released last week showed that India’s real GDP expanded by 7.8 per cent in the first quarter of FY 2025-26, up from 6.5 per cent in the same quarter a year earlier. Nominal GDP grew at 8.8 per cent in the April-June period. 

The agriculture sector clocked 3.7 per cent growth in Q1, rebounding from last year’s weaker 1.5 per cent when erratic rainfall had dragged farm output. Manufacturing grew by 7.7 per cent and construction by 7.6 per cent. The services sector registered the highest growth at 9.3 per cent compared to 6.8 per cent a year ago.

Thakur emphasised that strong macro-economic fundamentals and a favourable monsoon outlook have added to the positive momentum. “The economy is anchored in resilience and is showing signs of strengthening further,” she noted. 

India continues to be the fastest-growing major economy in the world, aided by robust government investment in infrastructure such as highways, ports, airports and railways. The Reserve Bank of India has projected the country’s GDP growth at 6.5 per cent for the full fiscal year, while the IMF expects India to be the only large economy to sustain growth above 6 per cent despite global uncertainties.