The Government is planning to make extra steps to ensure credibility of macro-economic data like the GDP estimation. A big renovation of existing statistical data collection and processing procedure will be made with the appointment of five new committees.
The new exercise of modifying the existing statistical compilation is because of inflation, industrial production, consumption employment and most importantly GDP estimate.
Impetus for the review of the existing system come into importance after several questions were raised about the credibility of the new methodology of calculating GDP. New GDP estimation methodology came under severe criticism and several methodological questions remain unanswered.
As part of the new step, five committees will be set up to review GDP estimates, data integrity as well as develop industry-wise and geography wise disaggregated data compilation.
Of the committees, that on financial sector statistics will be headed by Ravindra Dholakia who is a government nominee in the new Monetary Policy Committee.
“These committees are expected to cover the requirement of statistics for estimation of GDP, data governance for quality, timeline and credibility of collected data and derived estimates, provide for data integrity and audit trials of a National Statistical System,” the Ministry of Statistics and Programme specified the objective behind the new step.
The Committees will examine of the existing two giant statistical entities within the government – CSO and NSSO.