PM Modi, Economic Advisory Council discuss measures to accelerate India's economic growth amid West Asia war

Published 6 June 2026 · politics

Prime Minister Narendra Modi chaired a meeting on Saturday with members of the PM Economic Advisory Council amid Iran war. The discussion centered on ideas

Prime Minister Narendra Modi chaired a meeting on Saturday with members of the PM Economic Advisory Council amid Iran war. The discussion centered on ideas and policy steps to strengthen India’s economic growth amid global instability, according to an ANI report. Participants also reviewed potential reforms aimed at improving both ease of living and ease of doing business in the country. The members provided their views on the effects of the West Asia war on India and the wider global economy. The meeting took place against a backdrop of continuing geopolitical tensions, trade uncertainty, and uneven economic growth worldwide. PM Modi's austerity appeal PM Modi last month appealed to citizens to support the country’s economic stability by lowering reliance on imported fuel and embracing more sustainable practices, particularly in the context of the West Asia war.

He encouraged people to adopt work-from-home arrangements where feasible, reduce fuel usage, avoid international travel for a year, promote Swadeshi goods, cut down on edible oil consumption, shift towards natural farming practices, and limit purchases of gold. To help manage fluctuations in fuel prices, he also advocated changes in transportation habits. He called on citizens to use public transport such as metros more frequently, share private vehicles through carpooling when necessary, rely on railways for freight movement, and progressively adopt electric vehicles to reduce dependence on petrol and diesel. India's economy India’s economy exceeded market expectations in the fourth quarter of FY 2025–26, with real GDP expected to expand by 7.8% year-on-year.

For the full fiscal year, growth is projected at 7.7%, according to official data released on June 5, the report noted. At constant prices, real GDP for Q4 FY26 is estimated at ₹87.77 lakh crore, up from ₹81.40 lakh crore in the same quarter of the previous year. Nominal GDP for the quarter is estimated at ₹94.65 lakh crore, reflecting a 9.1% increase. For the entire FY 2025–26, real GDP is projected at ₹323.12 lakh crore, compared with the revised estimate of ₹299.89 lakh crore in FY25, marking a growth of 7.7%. Nominal GDP for the year is estimated at ₹346.36 lakh crore, registering an 8.9% rise over the previous year.

Gross Value Added (GVA), another important indicator of economic performance, is expected to grow by 7.9% in FY26, with nominal GVA rising by 9.1%. In the fourth quarter, real GVA grew by 7.9%, while nominal GVA increased by 9.9%. The figures indicate that growth was primarily driven by the secondary and tertiary sectors. In FY26, the secondary sector is projected to expand by 8.8% at constant prices, while the tertiary sector is expected to grow by 9.3%.