GST growth slows to Rs 1.86 lakh crore in August, but collections remain above Rs 1.8 lakh crore

Goods and Services Tax (GST) collections rose a tad slower at 6.5 percent in August to Rs 1.86 lakh crore compared with 7.6 percent in the previous month, according to government data released on September 1.

The collections were lower than the Rs 1.96 lakh crore garnered in July, but remained above the Rs 1.8 lakh crore mark for the eighth consecutive month, underscoring steady consumption trends despite signs of moderation.

Growth momentum, however, has eased from the double-digit pace seen in the first quarter of FY26. April had recorded the highest-ever mop-up of Rs 2.37 lakh crore, growing at 12.6 percent year-on-year. While May and June also logged healthy increases of 16.4 percent and 6.1 percent respectively, the past two months have shown slower expansion in line with broader high-frequency indicators.

India's economy on Friday performed better than expected delivering a 7.8 percent growth compared with 6.7 percent median estimate from a Moneycontrol poll of 15 economists.