Overview
- MoSPI/NSO reported real GDP growth of 7.8% year-on-year for April–June 2026, with nominal GDP up 10.3%, real GVA up 8.2%, and gross fixed capital formation rising about 11.9%.
- The statistics are provisional under the revised national accounts series that uses a 2022–23 base and a double-deflation approach, a method that separately adjusts output and intermediate inputs and can change quarterly readings on revision.
- Officials and analysts said strong household spending, 9.2% manufacturing growth, a 10% rise in services and a 12% jump in exports helped cushion the economy from higher energy costs caused by the West Asia conflict.
- The GFCF pickup was driven mainly by elevated government capital expenditure and infrastructure projects rather than a broad-based surge in private investment, which many economists say limits sustainability.
- Forecasters warned that persistent high crude prices, weaker global demand, rupee moves, monsoon variability and the provisional nature of the data are key risks that could slow growth and influence monetary and fiscal choices in coming quarters.