EconomyFriday, 11 September 2026·The Hindu - Economy
India’s GDP controversy: base-year changes, 7.8% Q1 FY27 growth and the 2022-23 methodology debate
India’s Q1 FY 2026-27 GDP growth of 7.8% has reignited debate over base-year changes and methodology revisions.
Key highlights
Direct fact
In August 2026, India reported 7.8% GDP growth for Q1 of FY 2026-27, while the debate over the new 2022-23 base year and earlier 2015 methodology changes resurfaced in public discourse.
Key specifics
- On August 31, 2026, the government announced 7.8% GDP growth for Q1 of FY 2026-27.
- The corresponding quarter of FY 2025-26 had recorded 6.9% growth.
- India’s GDP methodology was changed in 2015, including the use of the MCA-21 database and market prices instead of factor cost.
- The new GDP series for Q1 FY 2026-27 uses the 2022-23 base year.
- The Central Statistical Organisation said UPA years averaged 6.7% growth under the revised method, while the Modi government recorded 7.35% in its first four years from 2014.
Exam lens
Question type: Economy and statistics, base year and GDP methodology. TNPSC may ask about the 2015 GDP revision, MCA-21 database, 2022-23 base year, and the Q1 FY 2026-27 growth rate of 7.8%.