Virendra Pandit
New Delhi: Prime Minister Narendra Modi on Tuesday urged Indians to avoid leisure trips abroad, overseas weddings and unnecessary purchases of gold, calling for greater emphasis on swadeshi products and self-reliance as India seeks to sustain its economic growth, the media reported.
In a selfie-style video message from Bishkek, Kyrgyzstan, where he is attending the Shanghai Cooperation Organisation (SCO) Summit, PM Modi congratulated the country on recording 7.8% economic growth in the first quarter of the current financial year (April-June 2026) and said Indians should contribute to building a self-reliant economy.
“Foreign trips, if you are going for leisure, you should not go. If you are getting married abroad, you should not do so. And if it is not necessary, you should not buy gold either,” he appealed.
He said greater emphasis on swadeshi and self-reliance would help India realise its ambition of becoming a developed country by the centenary of independence in 2027.
“The more we emphasise swadeshi, the more we emphasise self-reliance, I have firm faith that when it is 100 years of independence, we will present a developed India to our young generation,” he said.
According to fresh government data, India’s real GDP grew by 7.8% in Q1 FY2.
Herculean feat
PM Modi said India’s exemplary GDP growth during Q1 of FY27 is a herculean feat. “The collective strength of our people ensured India delivered such growth despite oil price shocks and supply chain issues in the midst of global uncertainties. Doomsayers were doomed and India bloomed…yet again!,” he posted on X.
Applauding the achievement, Finance minister Nirmala Sitharaman said the credit for this strong performance goes to the people of India and their hard work. “Reforms undertaken by the NDA government, together with an agile management of the economy, are bearing results. The NDA government, led by @narendramodi, remains committed to further expanding economic opportunities for all our citizens,” she added.
Takes swipe at Rahul Gandhi
PM Modi said India was progressing rapidly despite global uncertainty, wars, crises and supply-chain disruptions. He also took a swipe at critics whom he accused of spreading pessimism and misinformation about the country’s progress.
“India is progressing rapidly. On the other hand, within India too, people drowned in an atmosphere of despair are engaged in spreading ‘jhooth ki goonj’ all around,” he said, adding that India had achieved 7.8% growth despite the challenges.
The phrase “jhooth ki goonj”, or “echo of lies”, appeared to be a reference to Congress leader Rahul Gandhi’s “Chhatron Ki Goonj” campaign, which focuses on issues including paper leaks, unemployment and the education system.
Young generation’s dreams
PM Modi said the country’s youth would see their aspirations fulfilled through the efforts being made today.
“We will fulfil the dreams of our young generation through our hard work today,” he said.
He also urged citizens to contribute to India’s economic progress, saying the government’s policies and intentions were on the right track.
“Our policy is right, our intention is clear, and the strength of 140 crore countrymen, coming together today, is taking the country to new heights,” PM Modi said.
West Asian crisis effects
Outpacing expectations by most forecasters, India’s economy grew at a robust 7.8 per cent in the June quarter of FY27, compared with 8.6 per cent in the preceding March quarter of FY26, despite geopolitical headwinds arising from the West Asia crisis, according to data released by the National Statistical Office on Monday.
Powered by strong manufacturing and services sector growth, India remained one of the fastest growing major economies, with China expanding 4.3 per cent and Indonesia growing 5.3 per cent in the June quarter.
India’s economy had grown 6.9 per cent in the June quarter of last financial year.
Forecasts by agencies for June quarter GDP growth had ranged between 6.9 per cent by India Ratings & Research (Ind-Ra) and 8 per cent by the State Bank of India (SBI). The Reserve Bank of India had estimated growth at 7 per cent for the same quarter.
The government also revised quarterly and annual national accounts data for FY23, FY24 and FY26, factoring in the new output producer price index (PPI), Index of Industrial Production (IIP) with base year 2022-23.
For example, the Q4 FY26 GDP growth was revised upward to 8.6 per cent from the earlier estimate of 7.8 per cent. This led overall GDP growth of FY26 to 7.8 per cent from 7.7 per cent estimated earlier.
Sectoral data pointed towards pick up in investment demand (11.9 per cent) in the June quarter while private spending (7.1 per cent) and government spending (4.3 per cent) decelerated compared to the preceding March quarter.
Supply side measures showed acceleration in manufacturing output (9.2 per cent) in the June quarter while marginal slowdown in farm output growth (3.6 per cent), possibly due to delayed onset of monsoon. While services activity marginally slowed down in the June quarter, it grew in double digits (10 per cent) for the third consecutive quarter, led by the financial, real estate and IT sector (12.1 per cent).
Combined exports of goods and services grew at a robust pace of 12 per cent in real terms in June quarter while imports contracted 1.1 per cent, signalling resilience of the external sector despite global headwinds.
SBI Capital Markets in a research report said strong growth and hardening inflation indicating towards a policy rate increase in FY27.
“Inflation prints are ambling northwards with the RBI’s own projections putting both headline and Core CPI above target. Real rates close to 0 per cent, and the minutes of the last MPC showed members were looking at rate hike scenarios. Further, members of the US Fed have coagulated around the theme of possible hikes, and oil prices show few signs of cooling. All these put together are making the case for a policy rate hike in FY27 stronger than before,” it added.