India's FY26 growth to be above 6.8% driven by GST, tax relief: CEA
- IBEF
- November 10, 2025
Chief Economic Advisor (CEA) Mr. V. Anantha Nageswaran expressed optimism that India’s economic growth for FY26 would exceed 6.8%, supported by stronger consumption following the Goods and Services Tax (GST) rate cut and income tax relief. Speaking at CNBC-TV18’s Global Leadership Summit 2025, he stated that the economy is performing better than expected, with growth comfortably positioned above the earlier projected range of 6.3-6.8% in the Economic Survey. He said he is confident growth would be “north of 6.8%”, while awaiting second-quarter data before revising projections closer to 7%. India recorded 7.8% Gross Domestic Product (GDP) growth in the first quarter of FY26, driven by robust performance in the agriculture sector and strong activity in services such as trade, hospitality, finance, and real estate.
Highlighting India’s robust economic fundamentals, he said the nation continues to be the world’s fastest-growing major economy, well-positioned to maintain its growth trajectory in the coming quarters. He added that ongoing policy reforms, improving investment sentiment, and expanding manufacturing capacity are further strengthening the economy’s long-term potential. He also expressed optimism that the upcoming Bilateral Trade Agreement (BTA) between India and the United States will open new avenues for growth, boost exports, and enhance India’s global competitiveness. He emphasised that India’s resilient macroeconomic framework, fiscal discipline, and proactive policy measures continue to support sustainable and inclusive growth.
Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.
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