India's Economy Grows 7.7% in FY26, Q4 GDP Expands 7.8%: Official Data

India GDP Growth Q4 FY26: Nominal GDP, which includes the impact of inflation, increases 8.9 per cent to Rs 346.36 lakh crore in FY26 from Rs 318.07 lakh crore in FY25.
India's Economy Grows 7.7% in FY26, Q4 GDP Expands 7.8%: Official Data
India's Economy Grows 7.7% in FY26, Q4 GDP Expands 7.8%: Official Data
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Q4 FY26 GDP Data: India’s economy grew 7.7 per cent in the financial year 2025-26, accelerating from 7.1 per cent in the previous year, according to the latest official data released on Friday, June 6, 2026. In the January-March quarter (Q4FY26), the Indian economy expanded 7.8 per cent year-on-year, higher than the 7.0 per cent growth recorded in the corresponding quarter of the previous fiscal.

The data showed that real Gross Domestic Product (GDP), adjusted for inflation, rose to Rs 323.12 lakh crore in FY26 from Rs 299.89 lakh crore in FY25.

Real GDP for the quarter was estimated at Rs 87.77 lakh crore compared with Rs 81.40 lakh crore a year ago.

Nominal GDP Grows 8.9%

Nominal GDP, which includes the impact of inflation, increased 8.9 per cent to Rs 346.36 lakh crore in FY26 from Rs 318.07 lakh crore in FY25. For the March 2026 quarter, nominal GDP rose 9.1 per cent to Rs 94.65 lakh crore.

GVA Growth Improves

Gross Value Added (GVA), a key measure of economic activity that excludes taxes and subsidies, grew 7.9 per cent in FY26 compared with 7.3 per cent in FY25. Real GVA was estimated at Rs 294.91 lakh crore during FY26 against Rs 273.36 lakh crore in the previous year.

In Q4FY26, real GVA grew 7.9 per cent to Rs 80.18 lakh crore, while nominal GVA rose 9.9 per cent to Rs 86.46 lakh crore.

Sector-Wise Growth In Q4 FY26

The services sector remained the biggest growth driver in the March quarter, expanding 9.9 per cent year-on-year, while the secondary sector, which includes manufacturing, construction and utilities, grew 7.4 per cent. Growth in the primary sector moderated to 3.8 per cent.

Among individual sectors, Trade, Hotels, Transport, Communication and Services related to Broadcasting recorded the fastest growth of 12.5 per cent in Q4FY26, up from 6.3 per cent a year earlier.

Financial, Real Estate, Ownership of Dwelling, IT and Professional Services grew 10.4 per cent, while Public Administration, Defence and Other Services expanded 5.8 per cent.

Within the industrial segment, Manufacturing grew 7.3 per cent, Construction expanded 8.4 per cent and Electricity, Gas, Water Supply and Other Utility Services rose 4.1 per cent.

Agriculture, Livestock, Forestry and Fishing registered growth of 3.6 per cent, while Mining and Quarrying grew 5.4 per cent during the quarter.

Better Than FY25

The FY26 growth rate of 7.7 per cent marks an improvement from the 7.1 per cent expansion recorded in FY25. Similarly, GVA growth accelerated to 7.9 per cent from 7.3 per cent in the previous fiscal, indicating stronger underlying economic activity.

The provisional estimates are based on actual data available up to the fourth quarter and replace the Second Advance Estimates released in February 2026, which were compiled using information available only up to the third quarter.

The next official GDP release, covering the April-June quarter of FY27, is scheduled for August 31, 2026.

Source: News18

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