What led to India's GDP growth accelerating to 7.8% in Q1 FY 2025-26?

Medhaa Gupta, Published on Aug 29th, 2025

What led to India's GDP growth accelerating to 7.8% in Q1 FY 2025-26?

India's real GDP has been estimated to grow by 7.8% in Q1 of FY 2025-26, as per government data. An economist called the performance "beyond expectations", adding that it was aided by low price deflators- due to low inflation. Another economist attributed it to a temporary boost from front-loaded government spending and front-loaded US exports before tariffs came into effect.

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