India’s Gross Domestic Product (GDP) grew at 6.2% year-on-year (YoY) in Q3 FY25, as per data released by the National Statistics Office (NSO). This figure is slightly lower than market expectations of 6.3% but higher than the 5.4% recorded in the previous quarter.
For the full fiscal year FY2024-25, the NSO has revised GDP growth upward to 6.5%, compared to previous estimates.
Key Highlights:
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Real GDP is estimated to grow by 6.5% in FY 2024-25, while Nominal GDP is expected to witness a 9.9% growth in FY 2024-25. Both growth rates have been revised upward from the First Advance Estimates.
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As per the First Revised Estimates, Real GDP grew by 9.2% in FY 2023-24, marking the highest growth in 12 years, except for FY 2021-22 (post-COVID recovery year). This growth was driven by:
- Manufacturing: 12.3%
- Construction: 10.4%
- Financial, Real Estate & Professional Services: 10.3%
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According to Final Estimates, Real GDP grew by 7.6% in FY 2022-23, mainly contributed by:
- Trade, Hotels, Transport, Communication & Broadcasting Services: 12.3%
- Financial, Real Estate & Professional Services: 10.8%
- Electricity, Gas, Water Supply & Other Utilities: 10.8%
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Q3 FY 2024-25 GDP growth has been estimated at 6.2%, while Nominal GDP growth is estimated at 9.9%.
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The Q2 FY 2024-25 GDP growth rate has been revised upward to 5.6%.
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Sectoral Growth in FY 2024-25:
- Construction: 8.6%
- Financial, Real Estate & Professional Services: 7.2%
- Trade, Hotels, Transport, Communication & Broadcasting: 6.4%
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Private Final Consumption Expenditure (PFCE) is projected to grow 7.6% in FY 2024-25, compared to 5.6% in FY 2023-24, indicating improving demand and economic resilience.
