Lok Sabha Question No. 114 (STARRED), answered on 2016-11-23
Subject: Methodology for Calculating GDP
Ministry: PLANNING
Asked by: MALLIKARJUN  KHARGE

## GOVERNMENT OF INDIA MINISTRY OF PLANNING

## LOK SABHA STARRED QUESTION No. *114 TO BE ANSWERED ON 23.11.2016

## METHODOLOGY FOR CALCULATING GDP

- *114. SHRI MALLIKARJUN KHARGE:

Will the Minister of PLANNING be pleased to state:

- (a)  whether  the  Government  has  set  up  a  Committee  to  examine  the  methodology  for calculation of GDP;
- (b) if so, the details thereof along with terms of reference of the Committee;
- (c) whether the Committee has submitted its report and the Government has adopted a new methodology for the calculation of GDP and if so, the details thereof; and
- (d) the timeframe by which the methodology is likely to be fully adopted?

## ANSWER

MINISTER OF STATE (INDEPENDENT CHARGE) FOR MINISTRY OF PLANNING AND MINISTER OF STATE FOR MINISTRY OF URBAN DEVELOPMENT AND MINISTRY OF HOUSING & URBAN POVERTY ALLEVIATION

(RAO INDERJIT SINGH)

- (a) to (d): A Statement is laid on the Table of the House.

STATEMENT REFERRED TO IN REPLY TO PARTS (a) TO (d) OF LOK SABHA STARRED QUESTION NO. 114* REGARDING 'METHODOLOGY FOR CALCULATING GDP' RAISED BY  SHRI  MALLIKARJUN  KHARGE  DUE  FOR ANSWER ON 23 rd  NOVEMBER, 2016.

(a) & (b): Yes, Madam. The Ministry of Statistics and Programme Implementation (MOSPI) has a regular advisory mechanism in the form of an Advisory Committee on National Accounts Statistics (ACNAS) comprising eminent economists, statisticians and other experts to look into and advise on all methodological aspects for compilation and presentation of GDP estimates and estimates of other national accounts aggregates. The ACNAS is constituted from time to time in consultation with the National Statistical Commission. The terms of reference of the ACNAS are:

1. To review the data base and advise on data collection through sample surveys, type studies etc. for implementing the recommendations of the System of National Accounts - 2008 (SNA-2008);
2. To advice on the methodology for compilation and presentation of National Accounts Statistics for purposes of economic analysis and policy and on promotion of research in the field of National Accounts Statistics;
3. To advice on undertaking studies for improvement of National Accounts Statistics in terms of coverage, adoption of new classifications recommended by the United Nations Statistics Division to capture impact of recent policies/ efforts of the government and development of sequence of accounts for various institutional sectors;
4. To  provide  guidelines  on  the  presentation  of  methodology  document  on  National Accounts Statistics; Sources and Methods as per new series; and
5. To advice on any other matter referred to the Committee by the National Statistical Commission in respect of national accounts.
6. (c):  The  ACNAS,  on  the  basis  of  the  reports  of  the  five  sub-committees  constituted  by  it, formulated methodology for revision of national accounts with new base year 2011-12. The reports of the sub-committees are available in the public domain through MOSPI's website. Changes in methodology and data sources for implementation in the new series of national accounts with base year 2011-12 were reviewed and finalised in a joint meeting of the ACNAS and  the  National  Statistical  Commission  held  on  19-01-2015.  The  details  of  changes  in methodology incorporated in the base revision exercise are mainly intended to comply with the guidelines under United Nations System of National Accounts -2008 and are available in the website of MOSPI.
7. (d): The methodology approved by the ACNAS has been used in the base revision exercise of national  accounts  to  compile  and  present  national  accounts  with  base  year  2011-12.  The national accounts estimates with new base year 2011-12 were released on 30-01-2015.
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