India's Revised Base Year Sparks Optimism for GDP Growth

India's decision to revise its base year for national accounts has led to an optimistic adjustment in GDP growth estimates for the 2025-26 fiscal year. Now pegged at 7.6%, this figure reflects the incorporation of structural economic shifts and fresh data sources, marking an analytically significant move.

Emphasizing the importance of this update, the Ministry of Statistics and Programme Implementation (MoSPI) disclosed its revised Annual and Quarterly National Accounts Estimates on Thursday, shifting the base year from 2011-12 to 2022-23. The change aims to bring India's economic data in line with global practices.

Analysts say the revised GDP framework addresses past concerns over outdated data and is poised to bolster sectors like corporate earnings and government finances. With better-aligned growth estimates, the Indian economy showcases its adaptability and preparedness for future global economic shifts.