India’s first-quarter GDP numbers have been caught in a crossfire, with a slugfest of unending salvos between die-hard supporters and opponents on issues such as the interpretation of the base year. Globally, GDP revisions typically occur for two major reasons: Periodic baseline changes to reflect modern economic structures, and retrospective data updates after economic events. While developed economies generally experience minor routine adjustments, emerging markets frequently witness dramatic revisions due to the inclusion of informal or rapidly expanding techno-digital sectors and ever-changing consumer preferences.

While the Ministry of Statistics and Programme Implementation (MoSPI) has come out with its set of explanations, we provide some more food for thought for settling this issue.

Last year, when the NSO had released the first quarter FY26 GDP numbers (base: 2011-12), the nominal GDP for the quarter was Rs 86.1 lakh crore. In the latest release (base: 2022-23), the Q1 FY26 GDP number has been revised downwards to Rs 80 lakh crore. Alongside, the latest Q1 FY27 GDP number is at Rs 88.3 lakh crore.

Some are........

© Indian Express