The Finance Minister, Nirmala Sitharaman, stated that the current government, under Prime Minister Narendra Modi’s leadership, is dedicated to advancing the “Reform Express” through decisive policy actions to maintain a positive economic trajectory amidst global challenges. Official data revealed that India’s economy expanded significantly in FY 2025-26, with real GDP expected to increase by 7.7% and real Gross Value Added (GVA) by 7.9%. In the January–March quarter of FY 2025-26, real GDP growth reached 7.8%, with GVA growth estimated at 7.9%, as per statistics released by the Ministry.
“Our government, led by PM Narendra Modi, is committed to further driving the ‘Reform Express’ with decisive policy measures to ensure positive economic momentum amidst global challenges,” emphasized FM Sitharaman. Notably, various sectors such as manufacturing, trade, repair, hotels, transport, communication, and services related to broadcasting, storage, financial, real estate, and professional services achieved double-digit growth in FY 2025-26. A previous report highlighted that India’s GDP growth was underpinned by robust performances in agriculture, construction, and services sectors, despite ongoing global uncertainties.
The secondary sector saw an 8.8% growth rate, while the tertiary sector expanded by 9.9% during the fiscal year. Key segments like manufacturing, trade, repair, hotels, transport, communication, storage, financial services, real estate, and professional services all experienced double-digit growth in FY 2025-26, indicating a widespread economic upturn. Both private final consumption expenditure and gross fixed capital formation grew by over 7.5%, supported by sustained domestic demand and substantial infrastructure investments. The growth momentum was also fueled by significant government expenditure on highways, railways, ports, and airports, which continued to bolster economic activity and investor confidence.
