India’s economy demonstrated resilience and strong momentum in the financial year 2024-25, with the country’s Gross Domestic Product (GDP) registering a robust 6.5% growth rate, according to provisional estimates released by the National Statistics Office (NSO), Ministry of Statistics & Programme Implementation (MoSPI).
The latest figures show a significant jump in real GDP growth, with a remarkable 7.4% increase recorded in the fourth quarter (January-March) of 2024-25, signalling a steady acceleration in economic activities. Nominal GDP, which includes inflation, expanded by 9.8% annually, further demonstrating the country’s economic strength.
Key sectors that propelled this growth include the construction industry, which recorded an impressive 9.4% growth rate, alongside public administration, defence, and other services, which grew by 8.9%. The financial, real estate, and professional services sector also contributed significantly, expanding by 7.2% over the year.
Government spending and private final consumption expenditure (PFCE) played a crucial role in sustaining economic expansion. PFCE grew by 7.2%, reflecting increased consumer confidence and higher demand for goods and services. Meanwhile, gross fixed capital formation (GFCF), an indicator of investment activity, surged by 7.1%, reinforcing India’s long-term economic stability.
With the latest data showing promising growth trends, India’s economy continues to chart a strong recovery and sustained expansion, making it one of the fastest-growing economies globally.