GDP estimate for the financial year 2025-26

In the third quarter (Q3) of the current financial year 2025-26, ending December, India’s GDP growth rate stood at 7.8 percent, supported by strong performance in the manufacturing and services sectors. Compared to 7.4 percent in the same period last year (2024-25), this indicates a notable increase, though slightly lower than the 8.4 percent recorded in Q2 of this year. Despite global trade uncertainties due to tariffs, India continues to be one of the fastest-growing major economies.

According to the new GDP series based on the 2022-23 base year, the full-year real GDP for 2025-26 is projected to reach ₹322.58 lakh crore, showing a growth of 7.6 percent over the previous year. Nominal GDP is estimated at ₹345.47 lakh crore, marking an 8.6 percent increase. The quarterly real GVA for Q3 rose 7.8 percent to ₹77.38 lakh crore, while nominal GVA grew 8.2 percent to ₹82.58 lakh crore.

Chief Economic Advisor V Anantha Nageswaran forecasts that the GDP growth for the next financial year 2026-27 could range between 7 to 7.4 percent, with nominal GDP potentially reaching nearly 11 percent. He expressed optimism that India’s economy will continue its robust growth trajectory, with the economy crossing the $4 trillion mark in nominal terms.