New Delhi, Nov 28 Economists on Friday hailed the 8.2 per cent gross domestic product (GDP) growth for the second quarter (Q2 FY26) -- a six-quarter high -- as it surpassed estimates for the second consecutive time amid global headwinds and tariff concerns.
For the second consecutive quarter, India’s GDP growth significantly surpassed expectations, printing at a six-quarter high of 8.2 per cent in Q2 FY2026, and displaying an acceleration over the 7.8 per cent growth seen in Q1 FY2026, in contrast to the widespread market expectation of some moderation, said Aditi Nayar, Chief Economist, ICRA.
The upside surprise in the Q2 GDP growth print was driven by services, even as the agriculture and industrial sectors largely reported prints along expected lines.
The 9.7 per cent surge in the public administration, defence and other services segment in Q2 FY26 was quite surprising, said analysts.
Madhavi Arora, Chief Economist, Emkay Global Financial Services, emphasised that the resilient data was led by monetary and regulatory easing and a limited impact of trade restrictions imposed by the US administration on Indian exports.
“Growth has exceeded expectations dramatically to 8.2 per cent, led by statistically favourable deflator effects, lagged effects of monetary and regulatory easing and limited hit so far on India’s exports," Arora explained.
Some of these factors will spill onto the third quarter as well, along with improvement in consumer demand, leading to FY26E GDP comfortably hugging 7 per cent print, she added.
Data released from the Ministry of Statistics showed that GDP growth accelerated to a robust 8.2 per cent in the July-September period of the current financial year compared to the corresponding figure of 5.6 per cent during the same quarter of FY 2024-25.
The secondary and tertiary sectors, with growth rates of 8.1 per cent and 9.2 per cent, respectively, have boosted the real GDP growth rate in Q2 of FY 2025-26 to rise above 8 per cent, an official statement said.
The manufacturing sector clocked a strong growth rate of 9.1 per cent, while the construction segment grew at 7.2 per cent in the secondary sector during the quarter.
Mahendra Patil, Founder and Managing Partner, MP Financial Advisory Services, said that India’s Q2 GDP growth clearly reaffirms the economy’s strong underlying momentum despite global uncertainties.
"The sharp pickup in manufacturing at 9.1 per cent and the continued resilience in financial and professional services at 10.2 per cent highlight that India’s growth engines are broad-based and structurally improving. What stands out is that private consumption has strengthened to 7.9 per cent, indicating healthier demand conditions. Overall, this print reinforces confidence that India remains firmly on a high-growth trajectory, supported by robust domestic fundamentals and sustained investment activity," Patil mentioned.
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