India's economic growth grew to 8.4% in the third quarter of 2023-24, mainly due to good performance by the manufacturing, mining & quarrying and construction sectors.

“GDP at constant (2011-12) prices in Q3 of 2023-24 is estimated at Rs 43.72 lakh crore, against Rs 40.35 lakh crore in Q3 of 2022-23, showing a growth rate of 8.4%. GDP at current prices in Q3 of 2023-24 is estimated at Rs 75.49 lakh crore, as against Rs 68.58 lakh crore in Q3 of 2022-23, showing a growth rate of 10.1%," said the National Statistical Office (NSO).

The sharp rise in GDP growth has beat estimates by the Reserve Bank of India (RBI). The central bank had maintained real GDP growth for 2023-24 at 7% with Q3 at 6.5% and Q4 at 6%. 

The NSO, in its second advance estimate of national accounts, pegged the country's growth at 7.6% for 2023-24.

In its first advance estimates released earlier in January 2024, it had projected a growth of 7.3% for the current fiscal.

The NSO also revised the GDP growth for 2022-23 to 7% against the earlier estimate of 7.2%.

"Double-digit growth in the manufacturing sector, followed by a good growth rate of construction sector" were responsible for the better-than-expected performance, the NSO said on Thursday. 

The manufacturing sector expanded 11.6% year-on-year in the December quarter. 

The construction sector also grew by 9.5%. Public administration, defence and other services reported 7.5% growth versus 3.5% in the third quarter of the last fiscal.

Prime Minister Narendra Modi said in a post on X: "Robust 8.4% GDP growth in Q3 2023-24 shows the strength of Indian economy and its potential. Our efforts will continue to bring fast economic growth which shall help 140 crore Indians lead a better life and create a Viksit Bharat!."