India's GDP Growth Climbs to 7.7% in FY 2025-26; Prime Minister Narendra Modi Hails Robust Economic Momentum and Success of Reforms
India’s economy grew by 7.7% in FY 2025-26, exceeding official projections and accelerating from the previous year’s 7.1%. Driven by strong consumption and fixed investments, the fourth quarter saw a robust 7.8% expansion. Prime Minister Narendra Modi praised the resilience of the economy, pledging further reforms to enhance ease of living and doing business nationwide.
India’s economy demonstrated robust performance in the 2025-26 fiscal year, achieving a growth rate of 7.7%, according to the latest data released by the Ministry of Statistics and Programme Implementation (MoSPI) on Friday. This figure marks an acceleration from the 7.1% growth recorded in the previous fiscal year and marginally surpasses the 7.6% projection previously outlined in the Second Advance Estimates. Prime Minister Narendra Modi described the results as a testament to the inherent strength of the Indian economy and the efficacy of ongoing structural reforms.
Growth Drivers and Performance Metrics
The upward revision in annual growth was significantly bolstered by a strong fourth-quarter performance, which saw the economy expand by 7.8%. Analysts noted that this growth trajectory remained resilient despite the economic headwinds introduced by the intensification of the West Asia conflict toward the end of the fiscal year. The expansion was primarily driven by healthy levels of private consumption and sustained fixed investments, which helped maintain momentum above the 7.4% average growth rate observed over the previous ten quarters. PM Modi Gave the Moniker ‘Bharat Bhhagya Viddhaata’ to Our Labour Class, Says Kangana Ranaut.
PM Narendra Modi Says India's Growth Momentum Remains Strong
In absolute terms, the real GDP for FY 2025-26 is estimated to reach ₹323.12 lakh crore, compared to the ₹299.89 lakh crore recorded in the 2024-25 period. Similarly, the nominal GDP at current prices rose to an estimated ₹346.36 lakh crore, representing an 8.9% growth rate over the previous year. The Real Gross Value Added (GVA) also registered a notable growth rate of 7.9%, outperforming the 7.3% growth recorded in the prior year. Bharat Bhhagya Viddhaata': Kangana Ranaut Reveals How John Abraham Made the Film’s Title Possible.
Government Commitment to Ease of Doing Business
Responding to the positive economic indicators, Prime Minister Modi emphasised that the government remains dedicated to fostering an environment conducive to further development. Highlighting the success of recent policy initiatives, he affirmed that the administration would "leave no stone unturned" to improve the "Ease of Living" and "Ease of Doing Business" across the nation. These efforts are intended to provide expanded opportunities for India's youth and ensure the country sustains its current trajectory of economic stability and growth.
(The above story first appeared on LatestLY on Jun 05, 2026 07:28 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).