New Delhi has just unveiled a game-changer in economic tracking. The latest revised GDP series from SBI Research paints a robust picture of India’s economy, revealing a significantly larger size and spotlighting manufacturing as the new powerhouse of growth.
In a detailed report released today, SBI Research highlights that while Q3 FY26 growth moderated to 7.8% from 8.4% in Q2, the overall trajectory remains strong. Projections for full-year FY26 growth stand at 7.6%, edging out the previous estimate of 7.4% under the old series.
What stands out is the massive upward revision in the economy’s absolute size. Real GDP for FY23 now clocks in at ₹261 lakh crore, a staggering jump from ₹161 lakh crore in the 2011-12 series. Similarly, FY25’s figure has been hiked to ₹300 lakh crore from ₹188 lakh crore.
This expansion stems from improved data coverage, adoption of double deflation in manufacturing, and refined price indices. Manufacturing has emerged as the star performer, posting double-digit growth of 12.7% in FY24 and 11.5% in FY26 so far. Q1 saw 10.6%, Q2 13.2%, and Q3 13.3% expansion.
Services aren’t lagging either, with FY26 estimates at 9% growth, up from 7.9% in FY24. Q3 services growth hit 9.5%, driven by financial services, real estate, IT, and professional sectors at 11.2%.
Agriculture, however, shows softness. FY26 growth is pegged at 2.4%, down from 4.2% in FY25, with Q3 at a mere 1.4% versus 5.8% last year, possibly due to base effects.
These revisions, incorporating a new base year and better methodologies, signal India’s economic resilience. Manufacturing’s surge positions the country as a global contender, while services provide steady ballast. As policymakers eye these trends, the focus will sharpen on sustaining manufacturing momentum and bolstering rural sectors for balanced expansion.