Shaping decisions in a data-driven era

The gross domestic product (GDP) numbers on new base year 2022-23 have been released by the Ministry of Statistics and Programme Implementation (Mospi).

- SAURABH GARG

The numbers suggest that the economy has maintained robust growth even at a revised base with average real GDP growth of more than 7 per cent for 2023-24 to 2025-26 and average growth of more than 9 per cent in nominal GDP for the same period.

According to the second advanced estimates for FY26, the real GDP has grown by 7.6 percent with nominal GDP growing by 8.6 percent.

The significance of these figures becomes even more striking when viewed against the backdrop of numerous methodological changes and use of new data sources in the base revision exercise. Among others, adoption of more refined methods of deflation and integration of richer data sources such as annual survey findings and expansive administrative datasets have helped capture the economy’s evolving dynamics more clearly. This also matters in light of the widespread interest in India’s GDP methodology, which has frequently driven discussions about the performance of the economy.

The revised GDP numbers tell more than just statistical numbers; they quietly reflect how various government initiatives are translating policies into tangible sectoral impact advancing the broader vision of Viksit Bharat@2047.

The manufacturing sector registering an average growth of 11 per cent in the years 2023-24 to 2025-26 offers a clear illustration of how improved methodologies like use of double deflation and adoption of new data sources has enabled better capturing of the true momentum of the sector — a momentum that the government is actively driving through various schemes, including the production-linked incentive (PLI) scheme.