The Economic Survey 2025–26 is the Government of India’s annual assessment of the country’s economic performance, prepared by the Department of Economic Affairs, Ministry of Finance, under the supervision of the Chief Economic Adviser (CEA). It is released prior to the Union Budget to provide an analytical foundation for fiscal and policy decisions.

Key Features

• Comprehensive analysis of GDP growth, inflation, employment, fiscal trends, and external sector
• Sector-wise review: agriculture, industry, services, infrastructure, social sectors
• Data-driven and evidence-based, using official statistics
• Reviews reforms and policy interventions
• Provides a medium-term economic outlook and reform roadmap
• Serves as a reference for policymakers, Parliament, researchers, and students

Historical Background

• First presented in 1950–51 as part of the Union Budget documents
• Separated from the Budget in 1964 to allow independent economic assessment
• Since then, it has been released before the Budget to enable informed fiscal planning
• Economic Survey 2025–26 was released on 29 January 2026, ahead of Union Budget 2026–27

Key Highlights of Economic Survey 2025–26

1. Overall State of the Economy

• India remained the fastest-growing major economy for the fourth consecutive year
• Real GDP growth (FY26): 7.4%
• GVA growth: 7.3%
• Medium-term potential growth estimated at around 7%
• FY27 GDP growth projected between 6.8%–7.2%

2. Consumption and Investment

• Private Final Consumption Expenditure (PFCE) grew by 7%, reaching 61.5% of GDP
• Rural demand improved due to strong agricultural output
• Gross Fixed Capital Formation (GFCF) rose by 7.8%, remaining at 30% of GDP
• Public capital expenditure continued to crowd in private investment

3. Fiscal Developments

• Centre’s revenue receipts rose to 9.2% of GDP in FY25
• Expansion of direct tax base with income tax filers rising to 9.2 crore
• GST collections (Apr–Dec 2025): ₹17.4 lakh crore
• Effective capital expenditure increased to about 4% of GDP
• General government debt-to-GDP ratio reduced by 7.1 percentage points since 2020

4. Monetary Management and Banking Sector

• Gross NPAs declined to 2.2% (September 2025), a multi-decade low
• Net NPAs reduced to 0.5%
• Bank credit growth accelerated to 14.5% (YoY)

5. Financial Inclusion and Capital Markets

• PM Jan Dhan Yojana: 55.02 crore accounts opened
• Over 12 crore unique investors in capital markets
• Rising participation of women and non-metro investors
• GIFT City emerging as a global financial services hub

6. External Sector

• India’s share in global merchandise exports rose to 1.8%
• Services export share increased to 4.3%
• Total exports (FY25): USD 825.3 billion
• Services exports: USD 387.6 billion
• Remittances: USD 135.4 billion (3.5% of GDP)
• Forex reserves reached USD 701.4 billion 

7. Inflation Trends

• Average CPI inflation (Apr–Dec 2025): 1.7%, the lowest in the CPI series
• Moderation driven by easing food and fuel prices

8. Agriculture and Allied Sectors

• Foodgrain production: 3,577.3 LMT (AY 2024–25)
• Horticulture output surpassed foodgrains
• Strong growth in livestock and fisheries
• PM-KISAN transfers exceeded ₹4.09 lakh crore
• e-NAM improved price discovery and market integration

9. Services Sector

• Services contributed 53.6% of GDP and 56.4% of GVA
• India became the 7th largest services exporter
• Services attracted over 80% of total FDI inflows

10. Industry and Manufacturing

• Industrial GVA grew by 7% in H1 FY26
• Manufacturing growth strengthened in FY26
• PLI schemes attracted over ₹2 lakh crore investment
• India Semiconductor Mission advanced domestic chip manufacturing

11. Infrastructure and Connectivity

• Central capex rose over four times since FY18
• Rapid expansion of highways, rail electrification, and aviation
• DISCOMs recorded positive profits for the first time in FY25

12. Social Sector: Education, Health, Employment

• Improved school enrolment ratios
• Expansion of IITs, IIMs, AIIMS
• Faster reduction in maternal and child mortality
• Employment reached 56.2 crore persons (Q2 FY26)
• e-Shram portal registered over 31 crore workers

13. Poverty Reduction and Rural Development

• Multidimensional poverty declined sharply to 11.28% (2022–23)
• Social services expenditure increased to 7.9% of GDP
• SVAMITVA strengthened rural property rights

14. Strategic Vision

• Advocates “Disciplined Swadeshi” aligned with efficiency and competitiveness
• Emphasises advanced manufacturing, cost reduction, and GVC integration
• Long-term goal: making India strategically indispensable in the global economy under Viksit Bharat 2047

Economic Survey vs Union Budget 

• Economic Survey: Analytical, advisory, reviews economic trends
• Union Budget: Financial and legal document, allocates resources and taxes
• Survey informs and guides Budget formulation

The Economic Survey 2025–26 highlights India’s macroeconomic resilience, structural transformation, and strategic ambition, while emphasising the need for sustained reforms, productivity growth, and global integration to achieve long-term development goals.