Budget Session 2025: FM tables Economic Survey; India's GDP growth projected at 6.3%-6.8% for FY 2025-26
PTC Web Desk: India’s GDP growth for FY 2025-26 is projected to range between 6.3% and 6.8%, according to the Economic Survey 2024-25. Despite challenges, the outlook suggests the Indian economy will continue to experience steady growth in the upcoming year.
The survey highlights the strength of India’s domestic economy, citing a strong external account, strategic fiscal consolidation, and consistent private consumption. "With these fundamentals in place, we anticipate a growth range of 6.3% to 6.8% for FY26," the report states.
The survey highlights that all sectors are performing well, based on a trend analysis of quarterly de-seasonalised national income data.
The agriculture sector remains strong, consistently outperforming trend levels, while the industrial sector has stabilised above pre-pandemic levels. The services sector has also seen robust growth, nearing its trend levels. Retail headline inflation has decreased from 5.4% in FY24 to 4.9% between April and December 2024, as per the Economic Survey.
The Economic Survey 2024-25 highlights that services sector exports have shown strong growth, increasing by 11.6% during the first nine months of FY25, despite challenging geopolitical conditions.
Food inflation in India has been impacted by factors such as supply chain disruptions, extreme weather events, and reduced harvests in key food items like vegetables and pulses. Heatwaves and unseasonal rainfall have further disrupted food production and supply chains, the survey points out.
The Economic Survey 2025 reveals significant improvements in labour market indicators over the past seven years, with the unemployment rate decreasing from 6.0% in 2017-18 to 3.2% in 2023-24 (July-June).
“The Government has implemented measures to boost employment, foster self-employment, and promote worker welfare. The recently launched PM-Internship Scheme is emerging as a transformative catalyst for employment generation,” the pre-budget document says.
- With inputs from agencies