India's private consumption improves to 6.9% in Q3

India's real GDP growth recovered in the December quarter to 6.2 percent

India's Private Final Consumption Expenditure (PFCE), a key measure of spending incurred by households, improved to 6.9 percent in the third quarter on better rural demand and festival season spending.

At 6.9 percent, private consumer spending was up from revised figure of 5.9 percent in July-September and 5.7 percent for the year-ago period, the Ministry of Statistics and Programme Implementation (MoSPI) said in a release on February 28.

For the full financial year, Private Final Consumption Expenditure is expected to register a growth of 7.6 percent as compared to 5.6 percent in the previous year.

Government spending also rose in the December quarter. Government Final Consumption Expenditure (GFCE) rose to 8.3 percent from 3.8 percent in the September quarter.

Overall, India's real GDP growth recovered in the quarter at 6.2 percent after sinking to a seven-quarter low of 5.6 percent in the July-September period.

For 2024-25, the real GDP growth rate is now estimated as 6.5 percent.