India's GDP growth comes in four-year low of 6.8% in FY25
Ministry of Statistics data showed today that Indian economy grew at a rate of 7.4% in the fourth quarter of FY 2024-25. The government has pegged the full fiscal year GDP growth at 6.5% provisionally coming at a four-year low and sharply below 9.2% in FY 2023-24. Nominal GDP has witnessed a growth rate of 9.8% in FY 2024-25. Despite the weak performance on the annual front, in the quarter ending March 2025, Indias growth marked highest in the four quarters following robust industrial activity.
Data showed that Construction sector is estimated to record a growth rate of 9.4% in FY 2024-25, followed by 8.9% growth rate in Public Administration, Defence & Other Services sector and 7.2% growth rate in Financial, Real Estate & Professional Services sector.
During Q4 of FY 2024-25, Construction sector has witnessed 10.8% growth rate, followed by 8.7% growth rate in Public Administration, Defence & Other Services sector and 7.8% growth rate in Financial, Real Estate & Professional Services sector.
Primary Sector has seen 4.4% growth rate as compared to growth rate of 2.7% observed in previous financial year. During Q4, FY 2024-25, this sector has observed 5.0% growth rate as compared to 0.8% growth rate in Q4 of previous financial year.
Private Final Consumption Expenditure (PFCE) has reported 7.2% growth rate during FY 2024-25 as compared to 5.6% growth rate in the previous financial year.
Gross Fixed Capital Formation (GFCF) has recorded 7.1% growth rate during FY 2024-25 and 9.4% growth rate in Q4, FY 2024-25.
The fourth quarter of FY 2024-25 shows Real GVA estimates of Rs 45.76 lakh crore, compared to Rs 42.86 lakh crore in the corresponding quarter of FY 2023-24, demonstrating a 6.8% increase. The Nominal GVA for Q4 FY 2024-25 stands at Rs 79.46 lakh crore, whilst Q4 FY 2023-24 recorded Rs 72.51 lakh crore, indicating a 9.6% growth.
Data showed that for the entire fiscal year 2024-25, Real GVA calculations reach Rs 171.87 lakh crore, as opposed to the First Revised Estimates of Rs 161.51 lakh crore for FY 2023-24, displaying a 6.4% growth. The Nominal GVA figures for FY 2024-25 are projected at Rs 300.22 lakh crore, in comparison to Rs 274.13 lakh crore in FY 2023-24, exhibiting a 9.5% increase.
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