UPSC Prelims Practice Questions — Prime Minister congratulates the nation on achieving 7.8% GDP growth; highlights surging economic confidence

Question 1

With reference to the compilation of India's national accounts, consider the following statements:
1. Real GDP is compiled at the constant prices of a base year, whereas nominal GDP is compiled at current prices.
2. The Advisory Committee on National Accounts Statistics, which guided the shift of the national accounts to the 2022-23 base year, functions under the Reserve Bank of India.
3. GDP at market prices is obtained by adding product taxes to, and deducting product subsidies from, Gross Value Added at basic prices.
4. The National Statistical Commission was constituted on the recommendation of the Kelkar Committee on statistical reforms.
Which of the statements given above is/are NOT correct?

Accepted Answer

2 and 4

Answer

1 and 3

Answer

2 only

Answer

1, 3 and 4

Question 2

The quarterly estimates of India's Gross Domestic Product at constant and current prices are compiled and released by which one of the following?

Accepted Answer

The National Statistical Office, MoSPI

Answer

The Department of Economic Affairs, Ministry of Finance

Answer

The Economic and Policy Research Department, Reserve Bank of India

Answer

The Development Monitoring and Evaluation Office, NITI Aayog

Question 3

In the quarterly estimates for the first quarter (April-June) of FY 2025-26, which one of the following recorded the highest year-on-year growth in real Gross Value Added?

Accepted Answer

The services (tertiary) sector

Answer

Manufacturing within the secondary sector

Answer

Construction within the secondary sector

Answer

Agriculture, livestock, forestry and fishing

Question 4

The 7.8% real GDP growth reported for the first quarter of FY 2025-26, with real GDP placed at ₹47.89 lakh crore, was computed at the constant prices of which base year?

Accepted Answer

2011-12

Answer

2004-05

Answer

2017-18

Answer

2022-23

Question 5

As per the Provisional Estimates, full-year real GDP growth for FY 2025-26 was 7.7%. By how many percentage points did this exceed the corresponding full-year real growth rate of FY 2024-25?

Accepted Answer

0.6 percentage points

Answer

0.4 percentage points

Answer

1.2 percentage points

Answer

2.1 percentage points

Question 6

An estimate placing India's real GDP growth for FY 2025-26 at 7.6% and nominal growth at 8.6%, alongside revised growth rates of 7.2% for FY 2023-24 and 7.1% for FY 2024-25, was released as part of which one of the following exercises?

Accepted Answer

The new series of GDP estimates with base year 2022-23

Answer

The First Advance Estimates released in January 2026

Answer

The Provisional Estimates released in the following May

Answer

The Economic Survey 2025-26 tabled in Parliament

Question 7

With reference to the types of GDP estimates released by the National Statistical Office, consider the following statements:
1. The First Advance Estimates of a financial year are released in early January, ahead of the presentation of the Union Budget.
2. Advance and Provisional Estimates are compiled by the benchmark-indicator method, in which the previous year's estimates are extrapolated using indicators of current sectoral performance.
3. The Provisional Estimates of annual GDP are released along with the quarterly estimates for the January-March quarter of that year.
4. Quarterly GDP estimates are released only at current prices, constant-price estimates being confined to the annual releases.
Which of the statements given above is/are correct?

Accepted Answer

1, 2 and 3

Answer

1 and 2 only

Answer

2, 3 and 4

Answer

1 and 4 only

Question 8

In India's national accounts, the 'benchmark-indicator method' used for Advance and Provisional Estimates refers to which one of the following procedures?

Accepted Answer

Extrapolating the previous year's estimates with indicators reflecting current sectoral performance

Answer

Fixing a fresh base year once every decade with the help of benchmark enterprise surveys

Answer

Converting current-price estimates into real terms using a benchmark price index of the base year

Answer

Reconciling the production-side and expenditure-side estimates against a benchmark discrepancy

Question 9

Which one of the following correctly describes the office of the Chief Statistician of India?

Accepted Answer

Head of the National Statistical Office and Secretary of the National Statistical Commission

Answer

Head of the National Statistical Office and ex-officio Chairperson of the National Statistical Commission

Answer

Secretary of the National Statistical Commission and ex-officio member of the NITI Aayog

Answer

Head of the National Sample Survey Office and Member-Secretary of the Finance Commission

Question 10

Apart from its Chairperson and its ex-officio Member, how many part-time Members does the National Statistical Commission have?

Accepted Answer

Four

Answer

Two

Answer

Three

Answer

Six

Question 11

Projections placing India's real GDP growth at 7.0 per cent for 2026 and 6.4 per cent for 2027 on a calendar-year basis, while retaining India as the fastest-growing major economy, appear in the latest update of which one of the following publications?

Accepted Answer

World Economic Outlook Update of the IMF

Answer

Global Economic Prospects of the World Bank

Answer

Economic Outlook of the OECD

Answer

World Economic Situation and Prospects of the United Nations

Question 12

Growth rates in India's quarterly GDP releases are computed on a year-on-year basis over the corresponding quarter of the previous year. On this basis, the 8.2% real growth reported for the second quarter of FY 2025-26 was measured against a base quarter that had itself grown by:

Accepted Answer

5.6%

Answer

6.5%

Answer

7.1%

Answer

8.4%

UPSC Prelims Practice Questions — Prime Minister congratulates the nation on achieving 7.8% GDP growth; highlights surging economic confidence

Q2. The quarterly estimates of India's Gross Domestic Product at constant and current prices are compiled and released by which one of the following?

Q3. In the quarterly estimates for the first quarter (April-June) of FY 2025-26, which one of the following recorded the highest year-on-year growth in real Gross Value Added?

Q4. The 7.8% real GDP growth reported for the first quarter of FY 2025-26, with real GDP placed at ₹47.89 lakh crore, was computed at the constant prices of which base year?

Q5. As per the Provisional Estimates, full-year real GDP growth for FY 2025-26 was 7.7%. By how many percentage points did this exceed the corresponding full-year real growth rate of FY 2024-25?

Q6. An estimate placing India's real GDP growth for FY 2025-26 at 7.6% and nominal growth at 8.6%, alongside revised growth rates of 7.2% for FY 2023-24 and 7.1% for FY 2024-25, was released as part of which one of the following exercises?

Q8. In India's national accounts, the 'benchmark-indicator method' used for Advance and Provisional Estimates refers to which one of the following procedures?

Q9. Which one of the following correctly describes the office of the Chief Statistician of India?

Q10. Apart from its Chairperson and its ex-officio Member, how many part-time Members does the National Statistical Commission have?

Q11. Projections placing India's real GDP growth at 7.0 per cent for 2026 and 6.4 per cent for 2027 on a calendar-year basis, while retaining India as the fastest-growing major economy, appear in the latest update of which one of the following publications?

Q12. Growth rates in India's quarterly GDP releases are computed on a year-on-year basis over the corresponding quarter of the previous year. On this basis, the 8.2% real growth reported for the second quarter of FY 2025-26 was measured against a base quarter that had itself grown by: