According to SBI Report India’s GDP Grows 7.4% in Q4 FY25 and Projects 6.3-6.5% Growth for FY26.
Economy Business
On May 30, 2025, Mumbai-based State Bank of India (SBI) released its SBI Research Ecowrap report, revealing that India’s GDP grew by a strong 7.4% in Q4 (Jan-Mar) of FY25, largely driven by a 12.7% rise in net indirect taxes.
- The report projects India will remain the fastest-growing major economy in FY26, with GDP growth estimated between 6.3% and 6.5%.
- The GDP deflator fell to 3.1% year-on-year (YoY) in Q4 FY25, down from 3.7% in Q3 FY25; sector-wise deflators in Q4 FY25 were: agriculture (-3.2%), industry (+1.5%), and services (-3.2%).
- Annually, the GDP deflator rose from 2.7% in FY24 to 3.1% in FY25, with slower deflator growth in agriculture, while industry and services sectors saw increases.
Main Point :- (i) Almost all sectors showed improved growth in Q4 FY25, led by the services sector at 7.3%, followed by public administration, defence, and other services (8.7%), and financial, real estate, and professional services (7.8%).
(ii) In May 2025, SBI signed a Memorandum of Understanding (MoU) with Karnataka Digital Economy Mission (KDEM) to support Global Capability Centres (GCCs) in Karnataka.
(iii) At the 'GCC Leaders Connect' event in Bengaluru, SBI announced the launch of India’s first ‘Exclusive GCC Centre’ in Bengaluru, aimed at providing customized banking solutions to support the growing GCC ecosystem in Karnataka.
About State Bank of India (SBI)
Chairman : Challa Sreenivasulu (C.S.) Setty
Headquarter : Mumbai
____________________________
