India’s Q2 growth projection strengthens on rural recovery and public spending

India’s second-quarter GDP growth is now projected at 7.3 percent, supported by improved rural demand momentum and higher central and state government capital expenditure. Economists noted that agricultural resilience, pickup in consumption, and stable manufacturing output have widened the upside compared to earlier expectations. Public infrastructure spending boosted allied sectors, while financial services and construction recorded steady traction. With inflation trending lower and commodity prices easing, analysts expect short-term dynamics to remain favourable as policymakers balance fiscal discipline with growth-linked priorities.

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