'Growth will be 7% or higher this year': CEA hails India’s 8.2% GDP surge, says momentum remains steady

India’s full-year growth is set to reach 7% "or more than that,” Chief Economic Advisor V. Anantha Nageswaran said on Friday, as fresh GDP data showed the economy expanding at 8.2% in the September quarter.

Soon after the latest GDP numbers were released, the CEA said long-term trends reflected stable growth and noted that India’s performance continued to outpace major economies.

Nageswaran said the first half of FY26 recorded 8% real GDP growth, adding that full-year expansion would be “7% or more than 7%”. He said agricultural output for 2024-25 indicated a record harvest, non-food credit picked up, and high-frequency indicators such as PMI and freight movement showed ongoing momentum. He also highlighted strength in rural and urban demand and said stable inflation had supported household savings.


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The CEA said electricity consumption needed close attention, and pointed to softer merchandise exports. He said, “There is an impact of the higher tariffs by the US imposed on Indian goods… despite the stellar efforts by exporters to find other markets… there is naturally still a residue and negative impact,” referring to the 12% year-on-year drop in October merchandise exports.

He said the third quarter began on a “sound footing” and the employment situation “remains steady”, adding that India’s growth continued to contribute to global expansion.

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Indian economy grows 8.2%
The National Statistics Office reported that India’s real GDP grew 8.2% in the July-September quarter of FY26, higher than 5.6% in the same period last year. Nominal GDP rose 8.7% in the quarter. In April-June, real GDP expanded 7.8%.

Growth in the secondary sector rose 8.1%, supported by 9.1% expansion in manufacturing and 7.2% in construction. The tertiary sector grew 9.2%, led by 10.2% growth in financial, real estate and professional services. Agriculture and allied activities grew 3.5%, while utilities recorded a 4.4% rise.

Private final consumption expenditure rose 7.9% in the quarter, compared with 6.4% a year earlier. For the first six months of the fiscal year, real GDP grew 8%, against 6.1% in the same period last year.

India had grown 6.5% in FY25 and 9.2% in FY24.