Quarterly Estimates of Gross Domestic Product for Q1 (April-June) 2025-26
The National Statistics Office (NSO) has released the Quarterly Estimates of Gross Domestic Product (GDP) for the April-June Quarter (Q1) of the Financial Year (FY) 2025-26. The report highlights a significant growth in both Real and Nominal GDP, with Real GDP estimated to grow by 7.8% compared to the previous year. Additionally, the report provides insights into various economic sectors, revealing notable performance in agriculture, manufacturing, and services.
Quarterly GDP Estimates
In the first quarter of FY 2025-26, the Real GDP at Constant Prices is estimated at ₹47.89 lakh crore, a substantial increase from ₹44.42 lakh crore in the same quarter of FY 2024-25. This growth rate of 7.8% marks a positive trend for the economy. Meanwhile, the Nominal GDP at Current Prices is projected at ₹86.05 lakh crore, up from ₹79.08 lakh crore, reflecting an 8.8% growth. The Gross Value Added (GVA) at Constant Prices is also on the rise, estimated at ₹44.64 lakh crore, compared to ₹41.47 lakh crore in the previous year, indicating a growth rate of 7.6%. These figures underscore a robust economic performance in the early months of the fiscal year.
Sectoral Performance
The report details the performance of various sectors contributing to the GDP. The Agriculture and Allied Sector has shown a Real GVA growth rate of 3.7%, a significant increase from 1.5% in Q1 of FY 2024-25. In the Secondary Sector, both Manufacturing and Construction have demonstrated strong growth, with rates of 7.7% and 7.6%, respectively. However, the Mining and Quarrying sector faced a decline of 3.1%, while the Electricity, Gas, Water Supply, and Other Utility Services sector experienced modest growth of 0.5%. The Tertiary Sector has also performed well, recording a growth rate of 9.3%, up from 6.8% in the previous year, indicating a thriving service industry.
Expenditure Components and Consumption
The report highlights significant changes in government and private consumption expenditures. The Government Final Consumption Expenditure (GFCE) has rebounded, showing a growth rate of 9.7% in nominal terms, compared to 4.0% in the same quarter last year. Meanwhile, Real Private Final Consumption Expenditure (PFCE) has reported a growth rate of 7.0%, slightly lower than the 8.3% growth in the previous year. Additionally, Gross Fixed Capital Formation (GFCF) has increased by 7.8% at Constant Prices, surpassing the 6.7% growth recorded in Q1 of FY 2024-25. These figures reflect a positive trend in both public and private spending, contributing to overall economic growth.
Methodology and Data Sources
The Quarterly Estimates of GDP are compiled using the Benchmark-indicator method, which extrapolates estimates from the same quarter of the previous financial year. Various indicators, including crop production targets, financial performance of listed companies, and industrial production indices, are utilized to compile these estimates. Data is sourced from multiple ministries, departments, and private agencies, ensuring a comprehensive overview of economic performance. The report emphasizes that improved data coverage and revisions may lead to updates in these estimates over time, with the next quarterly GDP estimates scheduled for release on November 28, 2025.
Observer Voice is the one stop site for National, International news, Sports, Editor’s Choice, Art/culture contents, Quotes and much more. We also cover historical contents. Historical contents includes World History, Indian History, and what happened today. The website also covers Entertainment across the India and World.
Follow Us on Twitter, Instagram, Facebook, & LinkedIn
