India’s GDP grows 7.8% YoY in Q2 2025, fastest in five quarters

India’s GDP expanded 7.8% YoY in Q2 2025, the strongest pace in five quarters, driven by robust private consumption and gross fixed capital formation. Manufacturing and construction grew 8.3% and 9.2% respectively, while inflation stayed moderate at 2.4%. Economists expect FY26 GDP to hover around 6.7% if fiscal consolidation continues.