India’s Q3 FY26 GDP Likely at 8.3% On GST Boost, Final Numbers Await MoSPI Despite Adverse Base Effect: Says UBI Report
India’s Q3 GDP Growth Likely at 8.3%, Driven by GST Rate Cut: Union Bank of India Report
India’s Gross Domestic Product (GDP) growth for the third quarter of the current financial year (Q3 FY26) is expected to remain strong at 8.3 per cent, despite facing an adverse base effect, according to a recent report by Union Bank of India. The report highlighted that the growth was largely propelled by consumption and investment following the recent GST rate cut.
The report noted that the Gross Value Added (GVA) growth for Q3 FY26 is likely to have improved to 8.0 per cent, up from 6.5 per cent in Q3 FY25. However, this is slightly lower than the 8.1 per cent recorded in the second quarter, indicating a modest moderation in overall activity.
While real GDP growth remains elevated, nominal GDP growth is expected to slow further to 8.5 per cent, down from 8.7 per cent in Q2 and 10.3 per cent in Q3 FY25. The report attributed this moderation to a fall in the GDP deflator, reflecting the impact of declining inflation on the overall price level.
The bank clarified that its estimates are based on the old base year, as uncertainty remains regarding the impact of the upcoming GDP base year revision. India’s Ministry of Statistics and Programme Implementation (MoSPI) is set to release GDP data with the revised base year of 2022-23 today. The final annual estimates for FY26, and projections for FY27, will need to be revisited once the revised data is available.
Union Bank of India’s report concluded that, despite these adjustments, the growth outlook for FY26 remains broadly resilient, and early indicators for FY27 suggest continued economic momentum. The upcoming GDP release is expected to provide further clarity on growth trends and offer a more comprehensive assessment of India’s economic trajectory.
(This article has been syndicated from ANI)
Aishwarya is a journalism graduate with over three years of experience thriving in the buzzing corporate media world. She’s got a knack for decoding business news, tracking the twists and turns of the stock market, covering the masala of the entertainment world, and sometimes her stories come with just the right sprinkle of political commentary. She has worked with several organizations, interned at ZEE and gained professional skills at TV9 and News24, And now is learning and writing at NewsX, she’s no stranger to the newsroom hustle. Her storytelling style is fast-paced, creative, and perfectly tailored to connect with both the platform and its audience. Moto: Approaching every story from the reader’s point of view, backing up her insights with solid facts.
Always bold with her opinions, she also never misses the chance to weave in expert voices, keeping things balanced and insightful. In short, Aishwarya brings a fresh, sharp, and fact-driven voice to every story she touches.
Healing Pharma Strengthens Its Lifesaving Mission with Another CSR Ambulance Donation in Mumbai
Mumbai (Maharashtra) [India], February 25: Reinforcing its commitment to saving lives beyond medicines, Healing Pharma…
Who is Aishwarya Desai? The glamorous mystery woman steals the spotlight with Vivek Oberoi in…
12-month live online programme from IIT Delhi combines AI, quantum networking and advanced wireless communications…
