World · Daily Terminal
Last week, India released GDP numbers showing 7.8% growth, higher than the forecast 7%, sparking widespread debate. Subhash Garg, a former finance secretary under Narendra Modi’s government, criticized the government’s claim of a 'herculean feat' as mere smoke and mirrors, arguing the real growth is only 2.6%. His assertion, made on a television channel, went viral.
Critics allege the government revised last year’s GDP data to inflate this year’s numbers, suppressed inconvenient findings, and altered methodologies, leading to a lack of transparency and statistical credibility. The International Monetary Fund rated India’s national accounts data a ‘C’ on a four-point scale, citing outdated methodologies, unexplained discrepancies, and a lack of seasonal data. Economists like R Nagaraj and former chief statistician Pronab Sen highlight systematic efforts to manipulate data for political gain, including the removal of critical officials and delayed surveys.
A Business Standard journalist revealed that the government initially denied publishing official unemployment figures at a 45-year high of 6.1%, only releasing them months later. The delayed 2021 census and revisions to demographic data further erode trust. Economists argue incorrect data leads to flawed policymaking, affecting welfare entitlements and public debates.
The controversy extends globally, with Sri Lanka’s policymakers reportedly watching India’s debates with skepticism. Protests by young Indians over systemic failures in education and employment underscore the urgency of addressing data integrity.
Source: The Guardian
