India GDP Growth: Das Highlights 7.6% FY26 Surge

What Shaktikanta Das said, and where

Shaktikanta Das, Principal Secretary-2 to the Prime Minister and former RBI governor, said India has repeatedly turned global crises into opportunities and emerged stronger each time. Speaking at forums including the AIMA National Leadership Conclave in New Delhi, he described India’s resilience amid geopolitical tensions, supply chain disruptions, and broader global uncertainty. He framed the recent cycle as more than just recovery, arguing that the economy transformed through turbulence after the Covid-19 shock. Das also linked India’s current position to a combination of macroeconomic stability, policy consistency, infrastructure expansion, and rapid digitalisation.

His remarks come at a time when global growth remains uneven and trade conditions are uncertain. Against that backdrop, Das positioned India as an outlier among major economies, with growth holding up despite external disruptions. He also urged industry to prepare for volatility by strengthening balance sheets and building resilience, rather than assuming shocks will fade quickly.

FY26 growth numbers Das highlighted

Das said real GDP growth stood at 7.6% in FY26, based on official estimates cited in his remarks. He also pointed out that India grew 7.1% in 2024-25 and that average real GDP growth in the five years since the pandemic is 7.8%. In another reference to the post-pandemic recovery period, he said India posted average growth of 8.2% between 2021-22 and 2024-25, supported largely by private consumption and investment.

He also cited recent National Statistics Office (NSO) data indicating India is projected to grow 7.4% in 2025-26, and said this would contribute nearly 18% to global GDP growth. Across these data points, the central argument was consistent: India’s growth has remained comparatively strong through a period marked by repeated global shocks.

The “transformation through turbulence” theme

Das said that in the last five years since Covid-19, India did not just endure a turbulent period but transformed through it. He pointed to deep digitalisation across sectors, efficiency gains in government systems, and what he called an unprecedented expansion in infrastructure. The emphasis was that resilience came not only from demand conditions, but also from institutional and operational changes that raised system efficiency.

This theme also showed up in his framing of India as a “credible” economic power, rooted in macroeconomic stability, institutional reforms, and stronger balance sheets across banks and corporates. In his telling, credibility is not only about headline growth, but also about the underlying capacity to absorb shocks and continue investing.

Four drivers Das listed: stability, policy, infrastructure, demand

Das highlighted macroeconomic stability as a first driver, citing strong growth, management of inflation, and large foreign exchange reserves as buffers against global shocks. He then pointed to policy stability, saying stable governance and a broad policy focus on growth and reforms have improved confidence for investors and businesses.

Third, he flagged infrastructure-led development, with sustained public investment in roads, ports, railways, energy, and digital systems strengthening supply chains and reducing structural bottlenecks. Fourth, he stressed strong domestic demand, arguing India’s consumption base provides a natural buffer compared with more export-dependent peers. In support of this point, he cited India’s median age of 29 years and a rapidly urbanising population.

Structural reforms and the “developed economy by 2047” framing

Das outlined a set of reform elements that, in his view, underpin India’s credibility push toward becoming a developed economy by 2047. He cited structural reforms such as the goods and services tax (GST), the Insolvency and Bankruptcy Code (IBC), and flexible inflation targeting.

He also said the operationalisation of four labour codes in late 2025 signals continued reform momentum. Alongside reforms, he described India’s approach to self-reliance as a three-legged strategy: stability, structural reforms, and strategic government schemes. The way he presented it, the objective is to keep growth durable even as the global economic order becomes more fragmented.

Guidance to industry: resilience, jobs, and new supply chains

Das said it would be prudent for Indian industry and business to take practical steps in response to global volatility. He listed priorities that included building organisational resilience, strengthening balance sheets, building new supply chains, protecting jobs, and reskilling manpower. He also urged exporters to diversify into new markets and asked companies to invest strategically for future readiness and to capitalise on new opportunities.

The emphasis was not on short-term market timing, but on operational preparation. The repeated reference to supply chains reflects how disruptions have become a recurring feature of the global environment rather than a one-off event.

Key figures at a glance

Market impact: what the remarks signal for investors

Das’s comments largely reinforce the macro narrative investors track: growth resilience, a policy framework presented as stable, and continued emphasis on infrastructure and digital public infrastructure. His focus on foreign exchange reserves and inflation management speaks to the shock-absorption capacity that markets typically watch during volatile global phases.

He also noted that India has been attracting foreign-exchange inflows, especially after bond index inclusion, and that this has supported the rupee. Separately, in media interactions referenced in the provided material, Das said India could sustain growth of as much as 8% over the medium term, and indicated that a 7.5% to 8% range could be sustainable. These assertions are not forecasts of immediate outcomes, but they shape expectations around the medium-term growth ceiling and the policy intent to preserve macro stability.

Analysis: why “policy stability” and reforms matter in this cycle

A recurring point across Das’s remarks is that resilience is not only cyclical, but also institutional. By citing GST, the IBC, and flexible inflation targeting, he tied the growth discussion to reforms that affect formalisation, credit discipline, and macro policy credibility. The labour codes reference adds a forward reform marker, with late-2025 operationalisation framed as continuity rather than a break.

His other repeated emphasis is on demand composition. By highlighting a large consumption base and demographics, Das effectively argues that India’s growth engine is less dependent on external demand than many peers. Combined with infrastructure-led development and digitalisation, the narrative is that productivity and capacity expansion can continue even when global trade faces friction.

Conclusion

Das’s central message is that India has repeatedly absorbed global shocks and emerged stronger, supported by macroeconomic stability, policy consistency, infrastructure investment, and digitalisation. He anchored that claim in recent growth figures, including 7.6% real GDP growth in FY26 and an average of 7.8% over the five years since the pandemic.

He also outlined a reform-and-stability framework aimed at sustaining credibility on the path to a developed economy by 2047, while urging businesses to strengthen balance sheets, diversify supply chains and markets, and invest in future readiness as global volatility persists.