New Delhi, June 9 -- India's economy ended FY26 on a strong note, with GDP growth accelerating to at least a 12-quarter high of 7.7%. The growth print was much higher than economists' expectations of 7.2-7.3%, and fired on many cylinders, from agriculture to private investment, and trade. However, all these silver linings that held up strong during the quarter despite war-led disruptions are facing a gloomy outlook exacerbated by the possibility of a below-normal monsoon. Mint explores what worked for the economy in Q4FY26 and where the risks lie for FY27.

In the fourth quarter, gross fixed capital formation (GFCF), a measure of investment in the economy, grew 10.8% year-on-year, up from 8.2% in the previous quarter, recording highest gr...