India Real Estate Surges 24.7% in June; Air Transport Contracts

India’s real estate sector demonstrated remarkable expansion in June 2026, growing by a robust 24.7% year-on-year. This performance positioned it as the fastest-growing segment within the nation’s services economy, according to experimental data from the Ministry of Statistics and Programme Implementation (MoSPI).

Key Sector Performance in June 2026

• Real estate: 24.7% year-on-year growth, Index of Services Production (ISP) at 119.
• Retail trade: 18% rise, ISP at 138.
• Wholesale trade: 15.1% expansion, ISP at 122.8.
• Administrative and support services: 14.4% growth.
• IT and computer-related services: 13.5% increase.
• Banking activity: 11.4% expansion.
• Warehousing and transportation support services: 11.8%.
• Accommodation and food services: 10.2%.

The overall services sector experienced a broad-based expansion, with 18 out of 19 sub-sectors recording positive year-on-year growth. This widespread activity underscores sustained momentum across property, consumption, and technology-linked businesses.

Air Transport Faces Contraction

In contrast to the prevailing positive trend, the air transport sector was the sole sub-sector to experience a contraction. Its Index of Services Production (ISP) declined by 6% year-on-year, reaching 91.2 in June from 97.1 a year prior.

This sector had previously shown signs of weakness in April, followed by a slight recovery in May, before its June downturn. The data indicates a distinct divergence for air travel compared to other service industries.

Other Notable Sector Growth

• Insurance: 9.6% growth.
• Road transport: 9.7% growth.
• Telecommunications: 9.5% growth.
• Professional, scientific, and technical services: 9.1% growth.
• Railway transport: 3.3% growth.
• Postal and courier services: 5% growth.
• Information and broadcasting: 4.6% growth.
• Arts, entertainment, and recreation: 6.1% growth.

Overall, eight of the 19 services sub-sectors tracked by the ISP achieved double-digit growth in June, reflecting a generally robust service economy performance despite the notable contraction observed in air transport.