New Delhi: India’s growth story continues unabated despite outside pressures with a GDP growth rate at 8.2 percent in Q2 FY26 as against 7.8 percent in Q1 FY26 and 5.4 percent year ago.
An official spokesman said on Friday that India’s economic ascent continues to capture global attention. Already the world’s fourth largest economy, the nation is charting a confident course toward becoming the third largest economy by 2030, with GDP projected at USD 7.3 trillion.
Prime Minister Narendra Modi welcomed the latest GDP figures, describing these as ‘’very encouraging’’ and said this achievement reflects the impact of the government’s pro-growth policies and reforms, as well as the hard work and enterprise of the people of India.
He emphasized that the government remains committed to advancing reforms and strengthening Ease of Living for every citizen, ensuring that the benefits of growth reach all sections of society.
“The 8.2 percent GDP growth in Q2 of 2025-26 is very encouraging. 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,” the Prime Minister added.
With growth accelerating, India has once again outpaced global peers, reinforcing its position as the fastest-growing major economy. The surge is supported by resilient domestic demand, moderating inflation, and higher labour force participation, the spokesman added.
‘’As per the latest data, the real GDP of India, adjusted for inflation, is estimated to grow by 8.2 percent in Q2 of FY 2025-26 against the growth rate of 5.6 percent during Q2 of FY 2024-25. The GDP in Q1 of FY 2025-26 grew at 7.8 percent against the growth rate of 6.5 percent during Q1 of FY 2024-25. Each sector of the economy is playing a pivotal role in the growth of the country,’’ the spokesman added.
A revival in domestic investment and strong investor sentiment signals a stable and broad-based economy. As reforms gather pace and consumption remains optimistic, India’s economic outlook continues to upbeat, signalling sustained momentum and growth across sectors.
The current growth phase reflects the strength of decisive policymaking, structural reforms, and India’s deepening global integration.
Consumption rose 7.9 percent YoY in Q2 FY26 vs 7.0 percent in Q1 FY26 while manufacturing output rose 9.1 percent YoY in Q2 FY26 vs 7.7 percent in Q1 FY26. Construction activity grew 7.2 percent YoY in Q2 FY26 vs 7.6 percent in Q1 FY26 while Government spending was down 2.7 percent YoY vs 7.4 percent up in Q1 FY26.
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