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Despite US Tariff Setback, India's Q1 GDP Hits Five-Quarter High Of 7.8%, Beats Estimates
| Aug 30, 2025, 03:10:13 PM | TOI.in
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India’s economy grew by 7.8% in the first quarter of FY 2025-26, outperforming RBI’s forecast of 6.5% and beating most economist predictions. This strong start reinforces India’s position as the fastest growing major economy. Real GDP stood at ₹47.89 lakh crore, while Nominal GDP touched ₹86.05 lakh crore, marking 8.8% annual growth. Key sectors like manufacturing (7.7%) and construction (7.6%) showed robust performance. The agriculture sector improved to 3.7% growth, while mining contracted by 3.1%. The services sector saw a sharp rise to 9.3%. Government spending grew 9.7% in nominal terms, and capital formation rose 7.8%. However, private consumption growth eased to 7.0% from 8.3% in the same quarter last ye
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