India’s economy is back on the growth track, with GDP expanding 7.4% in Q4 FY25, surpassing expectations and reinforcing its position as the world’s fastest-growing major economy. The full-year GDP growth stands at 6.5%, driven by strong performances in agriculture, construction, and services.
Key Highlights:
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Q4 Growth Surge: India’s GDP grew 7.4% in Q4 FY25, exceeding forecasts and marking a strong finish to the fiscal year.
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Sectoral Performance: The construction sector recorded 10.8% growth, while financial, real estate, and professional services expanded by 7.8%. The agriculture sector posted a 5% growth rate, reflecting improved rural demand.
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Investment & Trade: Gross Fixed Capital Formation (GFCF) saw a 9.4% increase, signaling strong investment momentum. Net exports turned positive, supported by robust service exports.
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Fiscal Stability: India’s FY25 fiscal deficit was contained at 4.8% of GDP, aligning with government targets.
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Global Positioning: The IMF projects India to surpass Japan and become the fourth-largest economy by the end of FY26.
Despite global trade uncertainties, India’s economic resilience continues to shine, setting the stage for sustained growth in FY26.
Sources: Times of India, CNBC-TV18, Financial Express