Prime Minister Narendra Modi  said that the 8.2 per cent GDP growth in Q2 of 2025-26 is very encouraging, and that the government will continue to advance reforms and ensure ease of living for all. The GDP growth accelerated as the secondary and tertiary sectors, with growth rates of 8.1 per cent and 9.2 per cent, respectively, boosted the real GDP growth rate in Q2 of FY 2025-26 to rise above 8 per cent.

“It reflects the impact of our pro-growth policies and reforms. It also reflects the hard work and enterprise of our people. Our government will continue to advance reforms and strengthen Ease of Living for every citizen,” Prime Minister Modi said.

The real GDP growth expanded by 8.2 per cent in Q2 FY26, compared to the growth rate of 5.6 per cent recorded in Q2 FY25, primarily propelled by robust growth in the tertiary sector. According to official data, the manufacturing sector clocked a strong growth rate of 9.1 per cent, while the construction segment grew at 7.2 per cent in the secondary sector during the quarter. The growth rate of the financial, real estate and professional services in the tertiary sector jumped by a double-digit 10.2 per cent in Q2 of FY 2025-26.

With this growth, India has consolidated its position as the world’s fastest-growing large economy, with the GDP growth rate surging to 8.2 per cent in the July-September quarter, while the world faces the headwinds of uncertainty and slowing growth. Amid this global deceleration, India stands as a resolute outlier, propelled by the tailwinds of domestic demand, investment, and policy stability.

With GDP growth at 8.2 per cent, inflation anchored at historic lows, and robust external buffers, the Indian economy has managed to decouple from the global slowdown. The fiscal and monetary measures undertaken, particularly the GST rationalisation, have paved the way for a virtuous cycle of investment and consumption, positioning India as a rare bright spot in the global economic landscape.