Highlights
- In Q2 FY25, GDP growth moderated sharply to 5.4%. GVA growth stood at 5.6%.
- The recovery of the agriculture sector continued and services sector maintained its momentum.
- However, the industrial growth moderated sharply to 3.6%.
- On the expenditure side, the private final consumption expenditure maintained healthy growth despite moderation.
- We expect GDP growth to pick up in the second half of the year as the government pushes up its capex spending.
- Overall, we expect GDP growth of around 6.8% in H2, taking our projection for FY25 to around 6.5%
