India's economy grew 7.8% in the April-June quarter of the 2026-27 financial year, comfortably beating the Reserve Bank of India's own forecast of 7% and improving on the 6.9% growth recorded in the same quarter a year earlier.
Real GDP for the quarter was estimated at Rs 81.36 lakh crore, up from Rs 75.46 lakh crore a year ago, according to government data. Nominal GDP rose 10.3% to Rs 88.27 lakh crore.
Growth was led by the services sector, which expanded 10%, and by capital investment, which jumped 11.9%, pointing to strong domestic demand. Manufacturing grew 9.2%, lifting the broader secondary sector — which also includes utilities and construction — to 8.6% growth. Agriculture lagged, with the primary sector growing just 2.9%.
The latest reading is lower than the 8.6% growth recorded in the previous quarter, January-March 2026, but continues a run of strong output that has kept India among the fastest-growing major economies.