Left Menu
Development News Edition

Union Ministry of Statistics sees no merit in Dr Subramanian 'GDP' claim

ANI | New Delhi | Updated: 11-06-2019 23:53 IST | Created: 11-06-2019 23:17 IST
Union Ministry of Statistics sees no merit in Dr Subramanian 'GDP' claim
Image Credit: IANS

After former Chief Economic Advisor Dr Arvind Subramanian claimed in an article that the gross domestic product (GDP) growth rate was overestimated by 2.5 per cent between 2011-12 and 2016-17, Union Ministry of Statistics and Programme Implementation (MOSPI) on Tuesday said that India's GDP estimate is based on "global standardisation." "Reports have appeared in a section of media citing Dr Arvind Subramanian as regards overestimation of India's GDP growth, primarily based on an analysis of indicators, like electricity consumption, two-wheeler sales, commercial vehicle sales, etc., using an econometric model and associated assumptions," said the ministry in a statement.

"The estimation of GDP in any economy is a complex exercise where several measures and metrics are evolved to better measure the performance of the economy. For the purpose of global standardization and comparability, countries follow the System of National Accounts evolved in the UN after elaborate consultation," said the ministry. "The System of National Accounts 2008 (2008 SNA) is the latest version of the international statistical standard for the national accounts, adopted by the United Nations Statistical Commission (UNSC) in 2009 and is an update of the earlier 1993 SNA."

"The Inter-Secretariat Working Group on National Accounts (ISWGNA) was mandated to develop the 2008 SNA through intense discussions and consultation with member countries. India also participated in the deliberations of the Advisory Expert Group." "In its adoption of the 2008 SNA the UNSC encouraged the Member States, regional and sub-regional organisations to implement its recommendations and use it for the national and international reporting of national accounts statistics based on the available data sources," said the ministry.

"With structural changes taking place in the economy, it is necessary to revise the base year of macroeconomic indicators like GDP, Index of Industrial Production (IIP), Consumer Price Index (CPI), etc, periodically to ensure that indicators remain relevant and reflect the structural changes more realistically," said the ministry. "In India, the Base Year of the GDP Series was revised from 2004-05 to 2011-12 and released on 30 January, 2015 after adaptation of the sources and methods in line with the SNA 2008," said the ministry.

The ministry said that according to the World Bank, the accuracy of national accounts estimates and their comparability across countries depend on timely revisions to data on GDP and its components. "The frequency of revisions to GDP data across countries varies between monthly, quarterly, annually or even less frequently. The International Monetary Fund (IMF), through its technical missions also reviews the implementation of recommendations of SNA and provides necessary technical support."

"It may also be seen that the GDP growth projections brought out by various national and international agencies are broadly in line with the estimates released by MOSPI. The GDP estimates released by the Ministry are based on accepted procedures, methodologies, and available data and objectively measure the contribution of various sectors in the economy," said the ministry in the statement. (ANI)



5G will be the key driving force for COVID-19 recovery: Here's how?

... ...

Canada’s COVID-19 pitfalls highlight need for integrated health information system

In the globalized world of today where outbreaks can spread far and wide within a matter of days, a global-level integrated health information system is ideal but Canadas provincial barriers show that the country lags much behind in deployi...

Pandemic must be impetus, not obstacle, for clean water access

To make matters worse, there are suspicions that the inadequacy of wastewater treatment methods in California, the rest of the USA, and indeed around the world may help to propagate the disease even more widely. ...

3D printing and the future of manufacturing post COVID-19

The on-demand, customizable, and localized manufacturing of product components facilitated by 3D printing has the potential to redefine manufacturing but there are certain technical, mechanical, and legal limitations that, unless ...


Latest News

Hafeez breaks bio-bubble in UK, PCB upset as player would have self isolate for 5 days

The Pakistan Cricket Board is is furious at former captain Muhammad Hafeez for his apparent breach of the biosecurity protocol imposed by the England and Wales Cricket Board for the ongoing away series. The former skipper, who is not a part...

CRPF being deployed in violence-hit areas:Karnataka Home minister

Karnataka Home Minister Basavaraj Bommai on Wednesday said six companies of the Central Reserve Police Force are being dispatched to the violence-hit areas of Bengaluru. Three companies from Hyderabad and three from Chennai will be deployed...

AP COVID-19 tally crosses 2.5 lakh mark with 9,597 new cases

Amaravati, Aug 12 PTI Adding 9,597 to its tally of COVID-19 cases, Andhra Pradesh on Wednesday crossed the 2.50 lakh mark as the infection positivity rate continued to spiral, reaching 9.59 per cent, overtaking Tamil Nadu. The state recorde...

Three killed as police open fire in Bengaluru; govt says violence a well planned act

Three people were killed after police opened fire to quell a mob that went on a rampage in a city locality irked over a social media post allegedly put out by a Congress legislators relative, with the Government terming the violence as a we...

Give Feedback