Battle for growth

• India’s Q3FY25 saw a 6.2% real GDP growth rate, the slowest since Q4FY23.

• The growth rate suggests the government’s full-year growth target of 6.5% is unattainable due to global tariffs and domestic tepid performance.

• Primary sector bolstered Q3FY25 growth with a value-add of 5.2%, up from 1.8% in the same quarter last year.

• Growth in secondary and tertiary sectors slowed to 4.8% and 7.4% respectively, compared to 12.4% and 8.3% last year.

• The Maha Kumbh could have boosted the growth numbers if a consumption spike was able to buttress the current quarter’s growth numbers.

• The RBI projected inflation to average 4.8% in FY25, easing further to 4.2% in FY26.

• The National Statistical Office (NSO) has attempted a tweaking of its methodology, affecting the quality and quantity of data collected.