India's Q2 GDP growth at 8.2% showcases manufacturing and services success.
India’s economy showcased a remarkable 8.2% GDP growth in Q2 of 2025-26, reinforcing its status as the fastest-growing major economy amid global challenges, including US tariffs. This growth was primarily driven by a robust manufacturing sector, which expanded by 9.1%, alongside a significant boost in private consumption and services. Despite some concerns over export growth due to tariff impacts and rising imports reflecting strong domestic demand, economists have revised their annual growth forecasts upwards. Prime Minister Modi credited this performance to the government’s pro-growth reforms and the resilience of the Indian populace, while the upcoming Reserve Bank of India meeting will be crucial for navigating the balance between sustaining growth and managing inflation.
