India’s economy grew by 6.2% in real terms during the October-December quarter of 2024-25, according to official data released on 28 February 2025. This growth was higher than the 5.6% recorded in the previous quarter but below the 6.8% forecast by the Reserve Bank of India (RBI). The weaker-than-expected growth is attributed to sluggish consumption and stock market performance.
The RBI’s GDP growth projection for 2024-25 is 6.6%, with the economy expected to grow by 7.2% in the January-March quarter. India’s real GDP growth for 2024-25 is estimated at 6.5%, lower than the 8.2% growth in 2023-24. Nominal GDP is projected to grow at 9.7% in 2024-25.
India remained the fastest-growing major economy, with 8.2% growth in 2023-24, following 7.2% in 2022-23 and 8.7% in 2021-22. The World Bank emphasized the need for 7.8% average growth over the next 22 years for India to become a developed nation by 2047, requiring bold reforms and effective execution.
