India’s Q3 GDP Grows 7.8% Following Rollout of New Base Year Series

India’s economy recorded a robust 7.8% year-on-year growth in the third quarter (October–December) of FY26, buoyed by strong domestic demand and improved economic activity across key sectors. The latest figures were released alongside a revised GDP series that updates the base year to 2022–23, replacing the earlier 2011–12 benchmark to better reflect the structure of the current economy.

The revised methodology incorporates broader data coverage, updated price indices, and enhanced measurement techniques to capture emerging sectors and shifts in consumption patterns. Officials said the changes aim to provide a more accurate and contemporary assessment of economic performance, aligning India’s statistical framework with global standards.

Growth in the third quarter was supported by resilient services activity, steady manufacturing output, and continued government-led infrastructure spending. Festive season demand further boosted consumption, contributing to the overall expansion. Construction and trade sectors also showed positive momentum during the period.

Although the 7.8% growth marks a slight moderation compared to the previous quarter’s revised estimate, the performance underscores the economy’s resilience amid external headwinds and global uncertainty. Analysts noted that revisions stemming from the new base year may affect comparisons with past data, but they offer a clearer snapshot of present economic conditions.

The government has also marginally raised its full-year growth outlook under the updated series, signaling confidence in sustained momentum through the remainder of the fiscal year. Policymakers are expected to monitor inflation trends and global developments while maintaining focus on growth stability. With the updated GDP framework now in place, India continues to position itself among the world’s fastest-growing major economies, backed by strong domestic fundamentals and ongoing structural reforms.