NEW DELHI, INDIA / RankWire.AI / – Prime Minister Narendra Modi has lauded India’s impressive 7.8% growth in the April to June quarter of fiscal 2026-27, describing it as a “herculean feat” following official data that indicates sustained expansion across key sectors. Modi emphasized that this achievement underscores the collective strength and resilience of India’s populace. He also acknowledged external factors such as oil price shocks, supply chain disruptions, and global uncertainty during the period.
According to the Ministry of Statistics and Programme Implementation, real gross domestic product stood 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, reflecting a 10.3% increase from ₹80 lakh crore. Real gross value added, another indicator of economic activity, increased by 8.2% to ₹73.82 lakh crore, while nominal GVA saw an 11.5% rise to ₹80.53 lakh crore.
Manufacturing experienced a 9.2% growth during the quarter, while financial, real estate, and professional services expanded by 12.1%. Agriculture, livestock, forestry, and fishing grew by 3.6%. Household consumption maintained its significant role as a key domestic demand component, rising 7.1%. Investment also gained momentum, with gross fixed capital formation increasing 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 driven by investment and manufacturing sectors
The quarter’s positive results were supported by several activity indicators showing strong year-on-year growth. Production of capital goods grew by 15.2%, while finished steel consumption increased by 8.3%. Cement production saw an 8.9% rise, and commercial vehicle sales jumped 18.3%. Household vehicle registrations also went up by 15.9%. Additionally, government data indicated exports of goods and services rose by 25.8%, with imports increasing by 30.5% during the April to June period.
India now measures its national accounts using a 2022-23 base year, replacing the previous 2011-12 framework. The statistics ministry introduced the updated series in February 2026, incorporating new data sources and methodologies. It subsequently integrated more recent industrial production and producer price data into its national accounts. The revised figures released in August showed a real GDP growth of 7.8% for fiscal 2025-26, slightly higher than the earlier provisional estimate of 7.7%.
Modi emphasizes resilience amid external global challenges
Modi connected the recent GDP performance to India’s capacity to sustain economic activity despite challenging global conditions. His comments followed the release of the quarterly national accounts on August 31. The Prime Minister pointed out that the economy faced difficulties such as higher oil prices and supply chain pressures. As India relies heavily on imported crude oil, energy prices significantly influence inflation, trade, and production costs for both businesses and households.
These latest figures represent the first official GDP estimate for India’s 2026-27 fiscal year. The Ministry of Statistics and Programme Implementation will publish the second quarter GDP data on November 30, covering July through September. The initial quarter’s data highlights growth across manufacturing, services, agriculture, consumption, and investment sectors. Modi centered his comments on the 7.8% headline figure and the economy’s resilience, framing the recent national output data as a testament to India’s ongoing economic strength.