Real GDP growth for Q1 FY25 came in at 6.7% YoY moderating from 7.8% in Q4 FY24. Growth was supported by the rebound in private consumption likely due to improvement in rural demand, while growth in investments slowed owing to the disruptions caused by the general elections. Positively, the real GVA growth surprised on the upside rising by 6.8%. The services sector along with impressive performance in construction led the growth on the production side, while manufacturing growth slowed. Despite these, the outlook for FY25 remains positive, with expectations of further improvement in rural demand and continued government focus on capital expenditure. We expect the real GDP to grow by 6.9%-7.0% in FY25.