India's FY26 GDP Growth Pegged at 7.4%, Services Sector Drives Momentum

• India's first advance estimates project real GDP growth at 7.4% for FY26, up from 6.5% in FY25.
• The services sector is the primary growth driver, with real GVA rising to 7.3% in FY26.
• Nominal GDP growth for FY26 is estimated at 8%, missing CNBC-TV18 poll and lower than FY25's 9.8%.
• Manufacturing growth accelerates to 7%, while agriculture, mining, and construction show slower or negative growth.
• Sustained growth is attributed to accommodative policies, strong corporate balance sheets, and favorable conditions.

Why It Matters: India's economy shows robust real GDP growth driven by services, despite nominal GDP missing estimates.