Economic Survey 2025 LIVE: India’s GDP Growth Forecast for FY26 Set at 6.3-6.8%
Union Finance Minister Nirmala Sitharaman presented the Economic Survey 2025 in Parliament on January 31.

Economic Survey 2025 LIVE: Union Finance Minister Nirmala Sitharaman presented the Economic Survey 2025 in Parliament on January 31. The report highlights India’s expected GDP growth of 6.3-6.8% in FY26, despite global uncertainties. It also projects controlled inflation, stable financial markets, and strong contributions from all major sectors.
To realize its economic aspirations of becoming Viksit Bharat by the time of the centenary of independence, India needs to achieve a growth rate of around 8 percent at constant prices, on average, for about a decade or two, said the report, prepared by the Chief Economic Advisor to the Finance Ministry.
“The fundamentals of the domestic economy remain robust, with a strong external account, calibrated fiscal consolidation, and stable private consumption.
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On the balance of these considerations, we expect that the growth in FY26 would be between 6.3% and 6.8%,” said the Economic Survey, authored by Chief Economic Advisor V Anantha Nageswarana and his team.
To achieve this growth, the investment rate must rise to approximately 35 percent of GDP, up from the current 31 percent. Additionally, it said it will be essential to develop the manufacturing sector further and invest in emerging technologies such as AI, robotics, and biotechnology. India will also need to create 78.5 lakh new non-farm jobs annually till 2030, achieve 100 percent literacy, develop the quality of our education institutions, and develop high-quality, future-ready infrastructure at scale and speed, the Survey said.
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The Survey said there are many upsides to domestic investment, output growth and disinflation in FY26. “There are equally strong, prominently extraneous, downsides too."
To unleash the potential of domestic-led growth in India through higher investment and economic efficiency, efforts would be required to assess the actual/true cost of regulation, undertaking systematic deregulation to reduce/remove the same by liberalizing standards and controls and designing policy prescriptions that reduce the cost and burden of undertaking an economic activity, for citizens and businesses alike. “India must pursue economic growth by undertaking policy actions that enhance economic freedom, i.e. citizens’ unhindered ability to pursue legitimate economic and entrepreneurial aspirations,” it said.
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