India’s GDP growth figures have triggered a fresh political and economic debate after former Finance Secretary Subhash Chandra Garg questioned the reported growth rate.
According to official data, India’s real GDP grew by 7.8% in the first quarter of the 2026-27 financial year.
However, Garg argued that the growth figure appears significantly higher because of revisions to the previous year’s GDP numbers.
He claimed that without the revisions, the growth rate at current prices would have been around 2.6%.
Garg’s remarks have provided fresh ammunition to the Congress, which has stepped up its criticism of the BJP-led government over the state of the economy.
Congress leader Jairam Ramesh argued that public relations may improve the presentation of economic data, but cannot change the underlying economic reality.
Congress leader Pawan Khera also questioned the government’s 7.8% GDP growth figure, pointing to concerns over inflation, purchasing power, household savings and employment opportunities.
Meanwhile, official sources have rejected Garg’s 2.6% calculation, describing it as statistically meaningless.
According to government sources, Garg’s calculation compares figures from the new GDP series with those from the old series, making the comparison methodologically inappropriate.
The government has maintained that under the new GDP series, real GDP grew by 7.8%, while nominal GDP growth stood at 10.3%.
The controversy has now turned into a broader political battle over how India’s economic performance should be measured and presented.
While the Congress has questioned the credibility of the headline growth figure, the government has defended the methodology behind the latest GDP estimates.
The key question now remains: Does the 7.8% figure accurately reflect India’s economic performance, or do alternative calculations tell a different story?
