India reports 7.8% GDP growth amid debate over economic inequality

India's Ministry of Statistics and Programme Implementation (MoSPI) reported a real GDP growth rate of 7.8% for the first quarter of the 2026–27 fiscal year (April–June). Other indicators show nominal GDP grew by 10.3%, real Gross Value Added increased by 8.2%, and investment rose by 11.9%.

Despite these figures, the growth data has sparked significant political and economic debate. Bahujan Samaj Party chief Mayawati questioned the validity of the claims, stating that true development is only achieved when citizens are free from poverty, unemployment, and corruption. She noted that the public, particularly those facing hyperinflation, may struggle to trust the reported figures if they do not reflect ground realities.

Economists have also raised concerns regarding the disconnect between macro indicators and household welfare. Former RBI Governor Raghuram Rajan questioned the lack of corresponding evidence in employment generation and investment. Additionally, former Finance Secretary Subhash Chandra Garg suggested that when compared to previous statistical frameworks, underlying growth might appear significantly lower. The government has defended the data, noting that the new GDP series uses 2022–23 as a base year and incorporates updated methodological changes.