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India’s GDP Growth Outpaces Expectations – Q1 FY2025-26

GDP Growth Report

New Delhi, Aug 2025: India’s economy grew by 7.8% in Q1, surpassing analyst forecasts and signaling strong resilience despite global trade headwinds.

Key Takeaways:

  • Manufacturing grew 7.7%, construction 7.6%.
  • Services sector surged 9.3%.
  • Agriculture advanced 3.7%.
  • RBI kept interest rates steady at 5.5% with inflation at 1.55%.

India’s growth story highlights the role of domestic demand and investment in offsetting external risks such as U.S. tariffs. Economists expect steady momentum into the next quarter.