NEW DELHI, INDIA / RankWire.AI / – Prime Minister Narendra Modi has lauded India’s 7.8% expansion in the April to June quarter of fiscal 2026-27. He described the achievement as a “herculean feat” following official data that indicated sustained growth across key sectors of the economy. Modi emphasized that this outcome demonstrated the collective strength and resilience of India’s population. He also acknowledged the impact of oil price shocks, supply chain disruptions, and global uncertainties during this period.
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 quarter last year. Nominal GDP reached ₹88.27 lakh crore, reflecting a 10.3% increase from ₹80 lakh crore. The real gross value added, another indicator of economic activity, grew 8.2% to ₹73.82 lakh crore. Nominal GVA also increased by 11.5% to ₹80.53 lakh crore.
Manufacturing expanded by 9.2%, while the financial, real estate, and professional services sectors grew 12.1%. Agriculture, livestock, forestry, and fishing rose 3.6%. Household consumption climbed 7.1%, continuing to be a crucial element of domestic demand. Investment levels improved as well, with gross fixed capital formation nearly 12% higher than a year earlier. Its share of nominal GDP reached 34.3%, up from 31.4% in the same quarter last year.
Broad-based growth driven by investment and manufacturing
The quarter’s results are supported by multiple activity indicators that showed strong year-on-year growth. Capital goods production increased by 15.2%, with finished steel consumption up 8.3%. Cement production rose 8.9%, and sales of commercial vehicles surged 18.3%. Registrations of household vehicles also saw a 15.9% rise. Additionally, government data revealed exports of goods and services grew by 25.8%, while imports increased by 30.5% during April to June.
India now uses a revised national accounts framework with a 2022-23 base year, replacing the previous 2011-12 series. This updated series was introduced in February 2026 by the statistics ministry, incorporating new data sources and methodologies. It also integrated more recent industrial production and producer price data into the national accounts. The revised figures released in August indicated a real GDP growth rate of 7.8% for fiscal 2025-26, slightly higher than the earlier provisional estimate of 7.7%.
Modi attributes resilience to global economic challenges
Modi linked India’s latest GDP figures to the nation’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 highlighted issues such as rising oil prices and supply chain pressures as key hurdles for the economy. Since India imports most of its crude oil, energy costs significantly influence inflation, trade, and production expenses across various sectors 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 is scheduled to publish second quarter GDP data on November 30, covering July through September. The initial quarter’s results showcased growth in manufacturing, services, agriculture, consumption, and investment sectors. Modi’s remarks focused on the 7.8% headline figure and the overall resilience of the economy, placing the recent national output data at the core of his message.