CII Projects 7% GDP Growth for 2025-26 Amid Rising Investments
The Confederation of Indian Industry (CII) anticipates India’s Gross Domestic Product (GDP) to grow by 7% in the fiscal year 2025-26, driven by an uptick in private investments and employment generation.
A recent pan-India survey by CII reveals that 75% of respondents view the current economic climate as favorable for private investments. Notably, 70% of the surveyed firms plan to invest in FY’26, indicating a potential surge in private sector participation in the coming quarters.
The survey also highlights positive employment trends, with approximately 97% of firms expecting to increase their workforce in both 2024-25 and 2025-26. Specifically, 42% to 46% of firms anticipate a 10% to 20% rise in employment, while 31% to 36% foresee up to a 10% increase. Additionally, 79% of respondents reported adding more employees over the past three years.
This projection aligns with the Reserve Bank of India’s (RBI) estimate of a 7% GDP growth for 2025-26, as stated by RBI Deputy Governor Michael Patra. Patra also mentioned the likelihood of India’s growth reverting to an 8% trend thereafter.
In contrast, the government’s first advance estimates peg India’s GDP growth at 6.4% for 2024-25, down from 8.2% in 2023-24. This projection considers a rebound in agriculture and allied sectors, estimated to grow by 3.8% in 2024-25 compared to 1.4% in the previous year.
| Why in News | Key Points |
|---|---|
| CII projects India’s GDP growth at 7% for 2025-26 amid rising private investments and job creation | – Confederation of Indian Industry (CII) estimates India’s GDP growth for 2025-26 at 7%. |
| – 70% of surveyed firms plan to invest in FY 2025-26. | |
| – 75% of firms view the current economic environment as favorable for investment. | |
| – Survey shows 97% of firms expect to increase workforce in 2024-25 and 2025-26. | |
| – 42%-46% of firms plan to increase employment by 10%-20%. | |
| – India’s GDP growth forecast by RBI for 2025-26 also stands at 7%. | |
| Government’s economic estimates | – India’s GDP growth is projected to be 6.4% for 2024-25 by the government. |
| – Agriculture and allied sectors expected to grow by 3.8% in 2024-25. |
In a monumental moment for South African cricket, the Proteas claimed their first-ever ICC trophy…
The ICC World Test Championship (WTC) is a premier biennial Test cricket tournament organized by…
Every year on June 15, the world comes together to observe World Elder Abuse Awareness…
Every year on June 14, countries around the globe observe World Blood Donor Day to…
In a historic development for cross-border sustainable finance, DFCC Bank PLC of Sri Lanka has…
In a significant step towards boosting indigenous defence capabilities, the Indian Army has successfully conducted…
