Growth estimates revised up for the current and past two fiscals
 

• India expected to grow 6.5% in the current fiscal: The National Statistics Office’s (NSO) second advance estimate (SAE) projects real gross domestic product (GDP) growth at 6.5% for the current fiscal, 10 basis points (bps) higher than first advance estimate (FAE) in January
  
  According to the NSO, third-quarter GDP growth improved to 6.2% on-year from 5.6% previous quarter

• Past two fiscals see larger revisions: GDP growth was revised higher 100 bps to 9.2% for fiscal 2024 and 60 bps up to 7.6% for fiscal 2023

• Consumption fared better than expected: Private consumption was the driver of the upward revisions. In the current fiscal, private consumption is estimated to grow 7.6%, stronger than the overall GDP growth

• Investments losing steam: Growth in fixed investments is estimated to be slower at 6.1% this fiscal, compared with 8.8% in the previous fiscal. Disaggregated data released until the previous fiscal showed a decline in private and household investment in fiscal 2024. Government capital expenditure (capex), which rose sharply in the previous fiscal, has declined in the current fiscal so far