India Registers Robust 7.7% GDP Growth in FY25-26 as Current Account Surpasses Targets in Q4

Data released by the Ministry of Statistics and Programme Implementation (MoSPI) showed India recorded a real GDP growth rate of 7.7% for the entire fiscal year 2025-26.
During the fourth quarter (Q4) of FY25-26, the Indian economy expanded by 7.8%, driven by robust performance across primary and service sectors.
Concurrently, the Reserve Bank of India reported that India achieved a Current Account Surplus (CAS) of $7.1 billion (equivalent to 0.7% of GDP) during Q4 of FY25-26.
However, on a full-year basis, the country ended FY25-26 with a Current Account Deficit (CAD) of $25.2 billion (0.6% of GDP), compared to $22.9 billion in the preceding financial year.
The fresh economic projections utilize the newly revised GDP series, which has shifted its baseline reference to the base year 2022-23.
Significance: Strong domestic demand and a resilient service sector sustain India's position as one of the fastest-growing major economies globally, despite persistent global monetary tightening.