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CEA Sees India’s FY26 Growth Exceeding 6.8%, Waits for Q2 to Endorse 7%

He points to tax relief–driven demand plus a revival in private capex as key supports.

Overview

  • Real GDP rose 7.8% in Q1 FY26, with services and manufacturing leading the gains.
  • The Economic Survey’s 6.3–6.8% projection is now surpassed by the CEA’s latest comfort level.
  • He said he will wait for second‑quarter data before projecting a 7% full‑year pace.
  • Recent GST rate cuts and income‑tax relief, alongside stronger private capex and foreign inflows, are cited as demand tailwinds.
  • He added that resolving USIndia trade frictions or clinching a bilateral deal would present an upside to the outlook.