Home breadcru News breadcru Economics breadcru India's GDP jumps 8.2% in Q2 FY26 on strong industrial growth

India's GDP jumps 8.2% in Q2 FY26 on strong industrial growth

28 Nov '25
2 min read
India's GDP jumps 8.2% in Q2 FY26 on strong industrial growth
Pic: Shutterstock/Rohit-Tripathi

Insights

  • India's economy grew 8.2 per cent in Q2 FY26, well above last year's 5.6 per cent, driven by strong industry and services activity, according to NSO data.
  • Manufacturing rose 9.1 per cent and services 9.2 per cent, while agriculture slowed to 3.5 per cent.
  • PFCE grew 7.9 per cent, signalling improving consumption.
  • In H1 FY26, GDP increased 8 per cent, underscoring solid momentum for the rest of the year.
India’s economic momentum strengthened in the July–September quarter (Q2) of fiscal 2025–26 (FY26), with real GDP expanding 8.2 per cent, according to the latest Quarterly Estimates released by the National Statistics Office (NSO). The growth rate sharply exceeded the 5.6 per cent rise recorded in the same quarter of the previous fiscal, signalling broad-based improvement across key sectors.

Nominal GDP increased 8.7 per cent during the quarter, supported by strong performances in both the secondary and tertiary sectors. Industry grew 8.1 per cent, led by a 9.1 per cent surge in manufacturing. Services expanded 9.2 per cent, the Ministry of Statistics and Programme Implementation said in a statement.

Agriculture and allied activities moderated to 3.5 per cent, reflecting uneven monsoon conditions, while utilities—electricity, gas, water supply and other services—grew 4.4 per cent.

Consumption demand also strengthened. Real Private Final Consumption Expenditure (PFCE) grew 7.9 per cent in Q2, improving from 6.4 per cent in the same period last year, indicating a recovery in household spending.

For the first half of FY26 (April–September), real GDP expanded 8 per cent, up from 6.1 per cent a year earlier, reinforcing expectations of a strong full-year economic performance.

ALCHEMPro News Desk (KD)

Get Free Weekly Market Insights Newsletter

Receive daily prices and market insights straight to your inbox. Subscribe to AlchemPro Weekly!