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ICRA GDP Forecast – Economic Trends

📅 Published 24 Feb 2026 · February 2026

GDP & Sector Outlook

  • ICRA projects India’s GDP growth at about 7.2% in Q3 FY26 (Oct–Dec 2025), down from 8.2% in Q2.

  • Services growth expected to slow to ~7.8% (from 9.2%), agriculture to ~3% (from 3.5%), while industrial activity may rise to ~8.3% (highest in six quarters).

GVA & Moderation Factors

  • Services GVA YoY growth estimated at 7.8% vs 9.2% in previous quarter.

  • Moderation reasons: adverse base effects (FY25), contraction in government capex, weak state spending, subdued merchandise exports, slowdown in services exports.

Exam Angles

  • GS‑III & Economy: cyclical vs structural slowdown, role of capex, external sector impact, sector‑wise growth trends.

📝 Relevant Exams: UPSC
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