📈 India GDP Growth Forecast 2025 – Full Analysis with Key Points and MCQs
India GDP growth forecast 2025 The India GDP growth forecast 2025 has attracted attention from economists, students, and global investors alike. According to the Economic Advisory Council to the Prime Minister (EAC-PM), India’s economy is expected to grow by 6.5% in the fiscal year 2025–26. This forecast comes at a time when global uncertainties like inflation, trade disruptions, and geopolitical conflicts continue to challenge world economies. The India GDP growth forecast 2025 reflects a mix of optimism and resilience. For students preparing for UPSC, SSC, Banking, and State PSCs, this topic is highly relevant and likely to appear in both objective and descriptive sections of exams. 🧾 What is the India GDP Growth Forecast 2025? The India GDP growth forecast 2025 represents the government’s expectation of how fast the economy will expand. A 6.5% growth rate suggests robust activity across key sectors like infrastructure, services, and manufacturing, backed by rising domestic consumption and strategic policy measures. 🔍 Key Factors Behind the India GDP Growth Forecast 2025 Here are the main reasons why experts are confident about the India GDP growth forecast 2025: ✅ 1. Capital Investment in Infrastructure The government’s push on capital expenditure (₹11 lakh crore in Budget 2025–26) is expected to stimulate jobs and create a multiplier effect on economic growth. ✅ 2. Boost from PLI Schemes Production Linked Incentives (PLI) across 14 sectors — including semiconductors, electronics, and EVs — are adding momentum to the India GDP growth forecast 2025. ✅ 3. Stable Macroeconomic Indicators Controlled inflation (~5%), healthy forex reserves, and a stable rupee have strengthened the case for a 6.5% India GDP growth forecast 2025. ✅ 4. Rural Consumption Recovery Rural markets are seeing demand rebound, with better monsoons and expanding credit, helping the India GDP growth forecast 2025 stay on track. 📊 Sector-Wise Outlook Supporting India GDP Growth Forecast 2025 Sector Growth Potential Contribution to GDP Agriculture Moderate (weather-based) 16% Manufacturing Strong via PLI & exports 18% Services Highest growth driver 53% Infrastructure Government-led boom 13% 🧠 Key Points – India GDP Growth Forecast 2025 📈 India’s projected GDP growth: 6.5% (2025–26) 🏛️ Forecast by: EAC-PM chaired by S Mahendra Dev 🛠️ Major drivers: Infra investment, PLI schemes, rising domestic demand 🌍 Risks include global oil price volatility and trade slowdown 🧑🎓 Highly relevant for UPSC, SSC, Banking, and MBA aspirants MCQs on India GDP Growth Forecast 2025 1. Who projected India’s 6.5% GDP growth for FY 2025–26?A. RBIB. NITI AayogC. S Mahendra Dev (EAC-PM)D. Finance Minister✅ Answer: C. S Mahendra Dev 2. What is the expected GDP growth rate in the India GDP growth forecast 2025?A. 4.5%B. 5.2%C. 6.5%D. 7.1%✅ Answer: C. 6.5% 3. Which sector is expected to drive India’s GDP growth the most?A. AgricultureB. ServicesC. FisheriesD. Forestry✅ Answer: B. Services 4. What does PLI stand for?A. Price Limit IndicatorB. Performance Linked IncentiveC. Production Linked IncentiveD. Project Licensing Investment✅ Answer: C. Production Linked Incentive 5. A strong India GDP growth forecast 2025 helps in—A. Decreasing jobsB. Economic slowdownC. Attracting foreign investmentD. Increasing fiscal deficit✅ Answer: C. Attracting foreign investment 6. Which organization monitors and maintains India’s national income data?A. RBIB. Ministry of FinanceC. CSO (MoSPI)D. SEBI✅ Answer: C. CSO (MoSPI)📘 The Central Statistics Office compiles GDP data in India. 7. What kind of GDP growth is considered ideal for a developing country like India?A. 2–3%B. 4–5%C. 6–7%D. Above 10%✅ Answer: C. 6–7% 8. Which one is NOT a factor supporting the India GDP growth forecast 2025?A. Rising domestic consumptionB. Infrastructure investmentsC. Global recessionD. PLI schemes✅ Answer: C. Global recession 9. What is India’s rank among fastest-growing major economies in 2025?A. 1stB. 2ndC. 3rdD. 5th✅ Answer: A. 1st 10. What is the estimated fiscal deficit target for 2025 as per Union Budget?A. 3%B. 4.5%C. 6.4%D. 5.9%✅ Answer: D. 5.9% 11. What does higher GDP generally mean for citizens?A. More taxesB. Better living standardsC. Lower FDID. Decrease in savings✅ Answer: B. Better living standards 12. What kind of economy does India have?A. SocialistB. MixedC. CapitalistD. Communist✅ Answer: B. Mixed 13. Which of the following schemes directly supports manufacturing and GDP growth?A. Mid-Day Meal SchemeB. Make in IndiaC. RTE ActD. MGNREGA✅ Answer: B. Make in India 14. Which sector is least contributing to India’s GDP in 2025?A. AgricultureB. ManufacturingC. ServicesD. Construction✅ Answer: A. Agriculture 15. Which of these economic terms refers to the total value of goods and services produced?A. CPIB. GDPC. Repo rateD. FDI✅ Answer: B. GDP 16. How often is India’s GDP data released?A. MonthlyB. QuarterlyC. AnnuallyD. Bi-annually✅ Answer: B. Quarterly 17. What is the base year for calculating India’s GDP (as of 2025)?A. 2011–12B. 2016–17C. 2020–21D. 2004–05✅ Answer: A. 2011–12 18. What role does RBI play in GDP growth?A. Announces taxesB. Controls inflationC. Conducts electionsD. Regulates agriculture✅ Answer: B. Controls inflation 19. What will help sustain the India GDP growth forecast 2025?A. Demand-side inflationB. Low employmentC. Consistent policy reformsD. Political instability✅ Answer: C. Consistent policy reforms 20. What is the full form of MoSPI?A. Ministry of Special Programs of IndiaB. Ministry of Statistics and Programme ImplementationC. Ministry of Social Policy and IndiaD. Monitoring and Statistics of Private Investment✅ Answer: B. Ministry of Statistics and Programme Implementation 21. Which global body supports India’s reform-driven growth model?A. WHOB. IMFC. UNESCOD. FIFA✅ Answer: B. IMF 22. What is GDP at constant prices also known as?A. Nominal GDPB. Real GDPC. Fiscal GDPD. Core GDP✅ Answer: B. Real GDP 23. Which initiative promotes digital transactions and supports GDP growth?A. Swachh BharatB. Digital IndiaC. PM-KISAND. Beti Bachao✅ Answer: B. Digital India 24. What kind of investment boosts long-term GDP growth?A. Portfolio investmentB. Consumer creditC. Capital investmentD. Insurance premium✅ Answer: C. Capital investment 25. Which among the following affects the India GDP growth forecast 2025 negatively?A. Infrastructure developmentB. Fiscal deficit managementC. Global financial crisisD. Banking sector reforms✅ Answer: C. Global financial crisis 26. When GDP grows faster than population, it leads to—A. StagflationB. Negative per capita incomeC. Higher per capita incomeD. Price hike✅ Answer: C. Higher per capita income 27. GDP per capita is calculated as—A. GDP ×