India’s GDP Growth Likely Slowed To 7.4 Percent In Q3 Amid Government Spending Cuts

India’s economic momentum appears to have moderated in the third quarter of the fiscal year, with GDP growth likely easing to 7.4 percent. A Mint poll of economists suggests that government spending cuts have weighed on growth, even as private consumption and investment remain resilient.  

The slowdown comes after robust expansion in earlier quarters, driven by strong domestic demand and infrastructure investments. However, fiscal consolidation measures, including reduced expenditure by the government, have tempered growth prospects. Economists note that while the private sector continues to show strength, sustained momentum will depend on policy support and global economic conditions.  

Despite the moderation, India remains one of the fastest-growing major economies. Analysts expect growth to stabilize in the coming quarters, with structural reforms, manufacturing expansion, and digital transformation playing key roles in sustaining long-term economic resilience.  

Key Highlights  

• GDP growth likely slowed to 7.4 percent in Q3  
• Government spending cuts cited as main factor  
• Private consumption and investment remain supportive  
• India continues to be among fastest-growing economies  
• Future growth depends on reforms and global conditions  

Sources: Mint, Economic Times, Business Standard