April 5, 2025
India’s Economy Poised For 6.5% Growth In FY 2026: EY
 #IndiaFinance

India’s Economy Poised For 6.5% Growth In FY 2026: EY #IndiaFinance

Financial Insights That Matter

For the fiscal year that ended in March 2025, the report estimates real GDP growth at 6.4%. The National Statistical Office had last month revised GDP growth estimates to 7.6% for 2022-23, 9.2% for 2023-24, and 6.5% for 2024-25.

EY notes that to meet NSO’s full-year growth projection, the economy will require 7.6% expansion in the fourth quarter, implying a 9.9% rise in private consumption expenditure—a pace not seen in recent years. The report suggests ramping up investment expenditure, with government capital spending playing a critical role.

Private capital expenditure has remained weak for several quarters. Last week, the Finance Ministry urged industries to boost private investment to counter external risks, highlighting its role as a key driver for growth in 2025-26.

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