India's economic landscape witnessed significant developments over the past 24 hours, marked by exceptional growth figures and crucial policy implementations. The country's Gross Domestic Product (GDP) registered a robust 8.2% expansion in the July-September quarter of FY26, exceeding market expectations and reinforcing India's status as the fastest-growing major economy globally.
Economic Growth and Forecasts
The impressive Q2 GDP growth, a six-quarter high, was primarily driven by strong performances in manufacturing, services, and construction sectors, coupled with resilient private consumption and increased government spending. Factors such as lower food inflation, GST rationalization, and moderation in interest rates contributed to increased discretionary spending and overall economic momentum. Following this strong performance, Chief Economic Advisor V Anantha Nageswaran projected India's full-year growth for the current financial year to be 7% or higher, with the economy likely surpassing the $4 trillion mark in FY26. Similarly, Crisil, a leading rating agency, revised its FY26 GDP growth forecast for India upwards to 7% from an earlier estimate of 6.5%.
Labour Reforms and Social Welfare
In a landmark move, the Indian government implemented four new Labour Codes on November 21, 2025. These codes ā the Code on Wages (2019), the Industrial Relations Code (2020), the Code on Social Security (2020), and the Occupational Safety, Health and Working Conditions Code (2020) ā consolidate and modernize 29 existing central labour laws. The reforms aim to ensure social justice, enhance worker welfare, and expand social security coverage to a broader section of the workforce, including gig and platform workers. Key provisions include the legal prohibition of gender discrimination, assured equal pay for women, permission for women to work night shifts in various sectors with proper safety measures, and mandatory representation of women in grievance redressal committees.
Trade and International Relations
Despite the domestic economic buoyancy, India's export sector has faced headwinds. Indian exports to the United States plummeted by 28.5% between May and October 2025, a direct consequence of aggressive US tariff hikes. Labour-intensive sectors such as gems and jewellery, textiles, garments, and chemicals were particularly hard hit. Experts are calling for swift policy action to mitigate the impact and support affected industries. Meanwhile, the New Development Bank (NDB) hosted a seminar discussing strategies to finance India's sustainable energy transition, highlighting the nation's progress in achieving 50% non-fossil electricity capacity ahead of its 2030 target and emphasizing the need for substantial investments in clean energy.
Business and Market Highlights
The Indian stock markets continued their upward trajectory, with the Sensex and Nifty extending their rally for the third consecutive week and scaling new all-time highs. This market optimism was fueled by positive global cues, robust domestic inflows, and ongoing India-US trade negotiations. In other business news, Tesla has reinforced its commitment to the Indian market by opening its largest all-in-one center in Gurugram, offering EV sales, servicing, and charging facilities. Additionally, the Black Friday 2025 sales period witnessed a record spending surge across India, with double-digit year-on-year growth in e-commerce, reflecting a maturing consumer market.
Other Important Updates
The International Monetary Fund (IMF) retained a "C-grade" for India's national account statistics, suggesting some shortcomings in the GDP data and recommending a rebasing of the GDP series. Several financial deadlines are also approaching, with November 30, 2025, being the last date for government pensioners to submit their life certificates and for SBI to discontinue its mCASH service.