MoSPI decides a comprehensive exercise for revision of base year of Gross Domestic Product (GDP), Index of Industrial Production (IIP) and Consumer Price Index (CPI)

1. At a Glance

• MoSPI has undertaken a comprehensive base year revision of three flagship macro-statistics: GDP, IIP and CPI, to enhance relevance, accuracy and international comparability [S1].
• New base years: GDP & IIP → 2022-23; CPI → 2024 (replacing GDP base 2011-12, IIP base 2011-12, CPI base 2012) [S2][S5].
• Revision covers methodological improvement, new data sources, weight updation and incorporation of latest classifications (NIC-2025) [S1][S5].
• Examinable for GS-III (Indian Economy — growth, employment, inflation) and Prelims (statistical system architecture).

2. Why in the News

• 9 Feb 2026: MoSPI announced the comprehensive base-revision exercise via PIB release [S1].
• 27 Feb 2026: New GDP series with base 2022-23 released, replacing 2011-12 series [S5][S6].
• 12 Feb 2026: New CPI series released; IIP new series scheduled for May 2026 [S2].
• Pre-release consultative workshops held at Bharat Mandapam, New Delhi (23 Dec 2025) and Chennai (30 Jan 2026) [S3][S4].

3. Background & Evolution

• Base-year revision is a periodic statistical exercise recommended by the UN System of National Accounts (SNA) — ideally every 5 years.
• Previous GDP base shifted from 2004-05 → 2011-12 in January 2015.
• IIP previously rebased to 2011-12 in May 2017; CPI rebased to 2012 in Feb 2015.
• Current revision guided by Technical Advisory Committees (TACs) with members from academia, Central & State Governments, RBI [S1].
• Stakeholder consultations conducted through 2025-26 to ensure transparency and confidence in official statistics [S1].

4. Core Static Facts

• Implementing Ministry: Ministry of Statistics & Programme Implementation (MoSPI) — independent Ministry since 1999 [S1].
• Compiling body for GDP: National Statistical Office (NSO) under MoSPI [S5].
• Compiling body for CPI: NSO (rural/urban CPI); Labour Bureau compiles CPI-IW separately.
• Compiling body for IIP: NSO, MoSPI.
• New base years: GDP 2022-23, IIP 2022-23, CPI 2024 [S2].
• Classification used: National Industrial Classification (NIC)-2025 (covers services, IT/ITES) [S5].
• Coverage on 27 Feb 2026: annual + quarterly estimates for 2022-23 to 2025-26 [S5].
• Source & Methods document: to be released by August 2026 [S5].
• Back series: expected by December 2026 [S5].
• TAC is the governing technical body for each index [S1].

5. Multi-Dimensional Analysis

Economic - More accurate measurement of services, digital economy, IT/ITES, gig economy via NIC-2025 [S5]. - Updated weighting diagrams in CPI reflect post-pandemic consumption shifts; impacts MPC inflation targeting (RBI uses CPI-Combined for 4±2% target). - Revised IIP weights will reshape interpretation of manufacturing sector performance and Eight Core Industries linkage.

Administrative / Governance - Driven by TACs with multi-stakeholder membership (academia, RBI, States) — reinforces statistical federalism [S1]. - MoSPI follows UN SNA 2008 recommendations; movement toward SNA 2025 alignment [S5].

Scientific / Methodological - Incorporates new data sources including latest survey data — e.g., HCES 2022-23 & 2023-24 likely feed CPI weights; Annual Survey of Industries updates IIP. - Conceptual changes per international best practice to enhance comparability with OECD/IMF reporting [S5].

Political / Credibility - Long-standing critique of 2015 GDP rebasing controversy makes the present revision politically salient; stakeholder workshops signal procedural transparency [S3][S4].

6. Recent Developments (last 12-18 months)

• 23 Dec 2025: Pre-release consultative workshop on base revision held at Bharat Mandapam, New Delhi [S3].
• 30 Jan 2026: Third pre-release consultative workshop held at Chennai [S4].
• 9 Feb 2026: MoSPI formally announced comprehensive base-revision exercise [S1].
• 12 Feb 2026: New CPI series released [S2].
• 27 Feb 2026: New GDP series (base 2022-23) released [S5][S6].
• May 2026 (scheduled): New IIP series release [S2].

7. Prelims Hooks

• New GDP base year: 2022-23 (from 2011-12) [S5][S6].
• New IIP base year: 2022-23 [S2].
• New CPI base year: 2024 [S2].
• Implementing ministry: MoSPI (not RBI; not NITI Aayog) [S1].
• Compiling agency for GDP/IIP/CPI: National Statistical Office (NSO) [S5].
• Industrial classification adopted: NIC-2025 [S5].
• GDP new series released on: 27 February 2026 [S5].
• CPI new series released on: 12 February 2026 [S2].
• IIP new series scheduled: May 2026 [S2].
• Revision guided by: Technical Advisory Committees (TACs) — academia + Central/State Govt + RBI [S1].
• Source & Methods publication: August 2026 [S5].
• GDP back-series release expected: December 2026 [S5].
• Last GDP rebasing was from 2004-05 → 2011-12 in January 2015.
• RBI inflation target uses CPI-Combined (rural+urban) at 4±2 %.
• Eight Core Industries index has weight of ~40.27 % within IIP (2011-12 base) — to be revised in new series.

8. Mains Relevance

• GS Paper III — Indian Economy: growth, development, employment; inclusive growth; mobilization of resources.
• GS Paper II — Government policies & interventions; statutory bodies (statistical governance).
• Possible question stems: 1. "Periodic revision of base years of macroeconomic indicators is essential for credible policy. Discuss in the context of MoSPI's 2026 rebasing of GDP, IIP and CPI." (15 marks) 2. "Examine how methodological reforms in India's national accounts statistics align with international standards while addressing domestic structural transformations." (10 marks) 3. "Robust official statistics are a public good. Critically analyse institutional safeguards within India's statistical system." (15 marks)

9. Related Topics to Study Next

• National Statistical Commission (NSC) — apex advisory body; Rangarajan Commission origin.
• System of National Accounts (SNA 2008/2025) — UN framework driving methodology.
• HCES 2022-23 & 2023-24 — household consumption survey feeding CPI weights.
• Periodic Labour Force Survey (PLFS) — sister NSO product, recently made quarterly.
• CPI-IW vs CPI-C vs WPI — compiled by different agencies; common confusion.
• Eight Core Industries Index — DPIIT, linked to IIP weighting.
• RBI's Flexible Inflation Targeting (FIT) — uses CPI-C; Section 45ZA RBI Act.
• GVA vs GDP — methodological distinction reinforced in 2015 rebasing.

10. Common Errors / Trap Areas

• WPI is compiled by DPIIT (Office of Economic Adviser), not MoSPI; current WPI base 2011-12.
• CPI-IW (Industrial Workers) is compiled by Labour Bureau under Ministry of Labour, base 2016 — distinct from MoSPI's CPI-C/CPI-R/CPI-U.
• Confusing base year revision with rebasing of back series; back series for new GDP comes only in Dec 2026 [S5].
• The new CPI base is a calendar year 2024, while GDP/IIP use fiscal 2022-23 — easy mix-up [S2].
• NIC-2025 (not NIC-2008) is used in new GDP series [S5].
• TACs are advisory, not statutory — NSC is the statutory apex body (under NSC resolution, 2005).

11. Sources

• [S1] MoSPI decides a comprehensive exercise for revision of base year of GDP, IIP and CPI — https://www.pib.gov.in/PressReleasePage.aspx?PRID=2225364 — (tier 1)
• [S2] Release of the new series of GDP, CPI and IIP scheduled for 27 Feb 2026, 12 Feb 2026 and May 2026 — https://www.pib.gov.in/PressReleasePage.aspx?PRID=2226269 — (tier 1)
• [S3] Pre-release Consultative Workshop on Base Revision at Bharat Mandapam, 23 Dec 2025 — https://www.pib.gov.in/PressReleasePage.aspx?PRID=2207861 — (tier 1)
• [S4] Third Pre-release Consultative Workshop, Chennai, 30 Jan 2026 — https://www.pib.gov.in/PressReleasePage.aspx?PRID=2220999 — (tier 1)
• [S5] New Series of GDP Estimates with Base Year 2022-23 — https://www.pib.gov.in/PressReleasePage.aspx?PRID=2233518 — (tier 1)
• [S6] MoSPI has revised base year of GDP from 2011-12 to 2022-23 — https://www.pib.gov.in/PressReleasePage.aspx?PRID=2240616 — (tier 1)