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How did India post stellar GDP growth in Q1FY26: Explained in six charts

The services sector proved to be the backbone of the recovery, expanding 9.3 percent in Q1FY26, a two-year high

August 29, 2025 / 19:32 IST
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India's growth for July surprised on the upside
India's growth for July surprised on the upside

India’s economy grew faster than expected in the June quarter of FY26, surprising markets with a 7.8 percent expansion, the strongest pace in five quarters. The performance marks a sharp rebound from the 6.5 percent growth recorded in the same period a year earlier. Here are six charts explaining India’s growth numbers:

India's economy surprised on the upside in June quarter

As services performed well

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And, manufacturing continued to provide support

Rain dampened mining and electricity

But consumption has kept pace

And, investment has been growing