NEW DELHI, INDIA / RankWire.AI / – Prime Minister Narendra Modi has lauded India’s 7.8% growth in the April to June quarter of fiscal 2026-27. He described the achievement as a “herculean feat” following official data that indicated ongoing expansion across key sectors of the economy. Modi emphasized that this outcome reflected the collective strength and resilience of India’s population. He also highlighted challenges faced during the period, including oil price shocks, supply chain disruptions, and global uncertainty.
The Ministry of Statistics and Programme Implementation reported the real gross domestic product at ₹81.36 lakh crore for the quarter, compared to ₹75.46 lakh crore in the same period last year. Nominal GDP reached ₹88.27 lakh crore, marking a 10.3% increase from ₹80 lakh crore. Meanwhile, real gross value added, a different measure of economic activity, grew by 8.2% to ₹73.82 lakh crore. Nominal GVA also saw an 11.5% rise, totaling ₹80.53 lakh crore.
During the quarter, manufacturing experienced a 9.2% growth, while financial, real estate, and professional services expanded by 12.1%. The agriculture, livestock, forestry, and fishing sector grew by 3.6%. Household consumption remained strong with a 7.1% increase, continuing its vital role in domestic demand. Investment also gained momentum, with gross fixed capital formation rising nearly 12% compared to the previous year. Its share of nominal GDP climbed to 34.3%, up from 31.4% in the same quarter last year.
Broad-based growth fueled by investment and manufacturing
Multiple activity indicators posted substantial year-on-year improvements, supporting the quarter’s positive results. Production of capital goods increased by 15.2%, while consumption of finished steel went up by 8.3%. Cement production expanded by 8.9%, and sales of commercial vehicles rose by 18.3%. Registrations of household vehicles also grew by 15.9%. Additionally, government data revealed exports of goods and services rose by 25.8%, with imports climbing 30.5% during April to June.
India has transitioned to using a 2022-23 base year for national accounts, replacing the earlier 2011-12 framework. The statistics ministry introduced this revised series in February 2026, incorporating new data sources and updated methodologies. Subsequently, newer industrial production and producer price information were integrated into the national accounts. The figures released in August indicated that real GDP growth for fiscal 2025-26 stood at 7.8%, slightly higher than the previous provisional estimate of 7.7%.
Resilience amid global challenges as highlighted by Modi
Modi associated India’s recent GDP performance with the country’s ability to sustain economic activity despite difficult international conditions. His remarks followed the release of the quarterly national accounts on August 31. The Prime Minister specifically pointed out higher oil prices and supply chain pressures as significant hurdles confronting the economy. Since India relies heavily on imports for most of its crude oil, fluctuations in energy prices have a notable impact on inflation, trade, and production costs across both businesses and households.
These latest figures represent the first official GDP assessment for India’s 2026-27 fiscal year. The Ministry of Statistics and Programme Implementation is scheduled to publish second quarter GDP estimates on November 30, covering July through September. The initial quarter’s data demonstrated growth across manufacturing, services, agriculture, consumption, and investment. Modi’s remarks centered on the 7.8% headline figure and the overall resilience of the economy, emphasizing the significance of this new national output data in his analysis.