New Delhi, Feb 28 (AHN) India’s revised GDP series not only present a larger economic base but also highlights the rising strength of manufacturing as a key growth driver, even as Q3FY26 growth moderated to 7.8 per cent, a new report said on Saturday.

India’s economic growth eased to 7.8 per cent in the third quarter of FY26, down from 8.4 per cent in Q2, under the newly revised GDP series, data compiled by SBI Research showed.

For the full financial year FY26, growth is estimated at 7.6 per cent, slightly higher than the earlier 7.4 per cent projected under the old series, it added.

The SBI report noted that while some annual growth numbers have been revised, the size of the economy has expanded significantly in the new base year due to better data coverage and improved methodology.

FY24 growth has been revised downward to 7.2 per cent from 9.2 per cent earlier, while FY25 growth has been revised upward to 7.1 per cent from 6.5 per cent.

More importantly, the real GDP levels have seen a sharp jump. FY23 real GDP has been placed at Rs 261 lakh crore compared to Rs 161 lakh crore in the old 2011-12 series.

Similarly, FY25 real GDP has been revised to Rs 300 lakh crore from Rs 188 lakh crore earlier.

The report attributed this increase to improved coverage, use of double deflation in manufacturing and more detailed price indices.

Manufacturing has emerged as the standout performer in the revised data. The sector recorded double-digit growth of 12.7 per cent in FY24 and 11.5 per cent in FY26.

In FY26, manufacturing growth remained in double digits across all three quarters so far, expanding 10.6 per cent in Q1, 13.2 per cent in Q2 and 13.3 per cent in Q3.

According to the report, the adoption of double deflation has helped capture value addition more accurately in the sector.

The services sector has also maintained strong momentum. It is estimated to grow 9 per cent in FY26 compared to 7.9 per cent in FY24.

In Q3 FY26 alone, services grew 9.5 per cent, higher than 9.3 per cent in Q2 and 8.2 per cent in Q3 FY25.

Financial, real estate, IT and professional services recorded robust expansion of 11.2 per cent in the third quarter.

However, agriculture and allied activities showed some moderation. The agriculture, livestock, forestry and fishing sector is estimated to grow 2.4 per cent in FY26 compared to 4.2 per cent in FY25.

In Q3FY26, the sector grew 1.4 per cent, lower than 5.8 per cent in the same quarter last year, possibly due to base effects.