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 this achievement as a “herculean feat,” following official data showing ongoing expansion across key sectors of the economy. Modi emphasized that the results reflect the collective strength and resilience of India’s population, while also acknowledging factors such as oil price shocks, supply chain disruptions, and global uncertainties during this period.
According to the Ministry of Statistics and Programme Implementation, India’s real gross domestic product was ₹81.36 lakh crore for the quarter, up from ₹75.46 lakh crore during the same quarter last year. Nominal GDP reached ₹88.27 lakh crore, representing a 10.3% increase from ₹80 lakh crore. Real gross value added (GVA), another key indicator, grew by 8.2% to ₹73.82 lakh crore, while nominal GVA climbed 11.5% to ₹80.53 lakh crore.
Manufacturing activities expanded 9.2%, and financial, real estate, and professional services grew 12.1%. The agriculture, livestock, forestry, and fishing sectors increased by 3.6%. Household consumption saw a 7.1% rise, maintaining its importance within domestic demand. Investment activity also picked up, with gross fixed capital formation nearly 12% higher than a year earlier, constituting 34.3% of nominal GDP compared to 31.4% in the previous year’s quarter.
Broad-based growth driven by investment and manufacturing
Several economic indicators showed strong year-on-year growth, supporting the quarterly GDP figures. Capital goods production increased by 15.2%, and finished steel consumption rose by 8.3%. Cement output grew 8.9%, while sales of commercial vehicles surged 18.3%. Household vehicle registrations also increased by 15.9%. Additionally, exports of goods and services grew by 25.8%, while imports rose by 30.5% during the April to June period.
India has transitioned to calculating national accounts based on a 2022-23 base year, replacing the older 2011-12 framework. The statistics ministry introduced this revised series in February 2026, incorporating new data sources and updated methodologies. It later integrated more recent industrial production and producer price data into national accounts. The updated figures released in August revised the real GDP growth for fiscal 2025-26 to 7.8%, from the earlier provisional estimate of 7.7%.
Resilience highlighted by Modi amid external pressures
Modi linked India’s latest GDP performance to its capacity to sustain economic activity despite challenging global conditions. His comments followed the release of the quarterly national accounts on August 31. He specifically pointed to higher oil prices and supply chain pressures as key challenges the economy faced. Since India imports most of its crude oil, fluctuations in energy costs significantly impact inflation, trade, and production expenses for businesses and consumers alike.
These latest figures represent the first official GDP assessment for India’s 2026-27 fiscal year. The Ministry of Statistics and Programme Implementation will publish second quarter GDP estimates on November 30, covering July through September. The first quarter data indicated growth in manufacturing, services, agriculture, consumption, and investment. Modi’s remarks focused on the 7.8% headline figure and the economy’s resilience, positioning this recent national output data as central to his message.