Need to fix GDP data issues, says IMF chief economist Gita Gopinath
NEW DELHI: International Monetary Fund (IMF) chief economist Gita Gopinath has said that the Union government might need to fix “some issues” linked to the revised GDP methodology, which had been flagged by the multilateral agency.
The former Kerala government adviser joins former Reserve Bank of India governor Raghuram Rajan in raising fresh concerns over the methodology to arrive at the GDP numbers. But unlike Rajan, Gopinath did not question the numbers that have been released over the last four years or so.
“There are still some issues that need to be fixed and this we have flagged before with respect to the deflator that is being used for estimating real GDP,” she told a TV channel in the US late on Thursday.
The GDP deflator is a measure of general price inflation and is calculated by dividing the nominal GDP by real GDP (net of inflation) and then multiplying by 100.
“There were important revisions in 2015 as a part of modernising India’s national accounts statistics, so that is welcome,” Gopinath added. “With regards to the newer numbers that are coming out, we are paying close attention to it, we are speaking closely to our colleagues in India and then we will make a determination based on that.”
Gopinath, who along with Rajan and other economists, had recently released an economic agenda for political parties too called for a need to better communicate the GDP numbers.
“India is projected to be growing over 7% in 2019 and 2020, which makes it one of the fastest growing major economy in the world, which is why it’s even more that that the statistics coming out of India are transparently communicated because everyone is watching India at this point,” she said in the TV interview.
On his part Rajan, who had earlier praised the central statistics office for the new methodology, had questioned the veracity of the numbers and had suggested that growth may be overstated. He had suggested getting an “impartial body” to review the numbers to “restore confidence”.
X - Delhi - 6 hours ago -Follow
WE WILL VOTE FOR MODI EVEN IF ENTIRE WORLD START SPEAKING AGAINST MODI DURING ELECTION.. THAT'S THE ONLY WAY TO SETTLE LEFTIST JIHADI ONCE FOR ALL
X - Delhi - 7 hours ago -Follow
this lady was Kerala govt advisor. We all know politically where kerala stand. All these fake khangraessi supprter opening their mouth during election to support khangress..
selva kumar - Location - 7 hours ago -Follow
Raghuram Rajan already pointed out this issue 3 years back. But bhaktaas blamed him. This BJP govt is cheating in all areas. Don''t know who will save India if Modi will come to power again.
Frequent Flyer - Bhubaneshwar - 6 hours ago -Follow
BJP Govt fudged GDP calculation methodology in 2016. Real GDP growth is full 2% points below what Govt states.
ONE LINER Challenge - 8 hours ago -Follow
Frankly Geeta- what ever the GDP figures are- the quality of life for the common man remains unchanged-and that is half of India and the toppings are-farmers committing suicides-
Souvik Ghosh - Kolkata - 4 hours ago -Follow
Indian GDP is disbelieved at major institutes now. Even big global investors are worried. We have become a negative yielding economy and it will hurt us terribly if Modi returns to power. There will be no biz and no jobs. Hard situation ahead.
Duck - Toronto - 7 hours ago -Follow
FEKU is pathological liar shameless spineless leader...he is most racist PM in India's history...Former French President François Hollandehas been quoted stating that the Indian government had asked the French government to nominate Anil Ambani's Reliance Defence Ltd. as its India partner in the Rafale deal....
Jagdeep Singh Aneja - Evansville, Indiana, USA - 6 hours ago -Follow
in a country of IITs and IIMs & where education is given importance at extreme level so much so that around the world, Indian brains have proved their worth.... if chaiwallah is the chosen one to run the country....something is seriously troubled....
Suchitra Pradhan - 4 hours ago -Follow
india is in safe hands under bjp rule n second time also we will choose modi only. These so called khangressi chamas talk during election will no difference in public mind.
Pallav - 4 hours ago -Follow
Best way to do this is by letting knowledgeable people run the government not chaiwala or chowkidar.
RV - Location - 4 hours ago -Follow
Some boot lickers have started making childish comments about IMF chief economists’ statement. Pity on those who don’t even know the different between ‘bakth’ and ‘Bhakt’ - though it is irrelevant here. Geeta Gopinathan has not raised any doubts, accusations or concerns; she just said that IMF is ‘watching’ the new methodology of data collection - which is IMF’s prerogative. She is supposed to make such observations in her official capacity as an IMF representative.
Sanjay Patil - 4 hours ago -Follow
This is one among the last ditch efforts to discredit Modi Ji during election time & confuse voters. However, people are wiser and know that Modi Ji is the only one among current leaders who can deliver the goods and take India to the next level over the next decade. Jai Hind!
Abhishek - 5 hours ago -Follow
Even though I'm a BJP supporter, I can clearly see where her concern is coming from. If there are even minor irregularities in our GDP calculations which might create unnecessary suspicions in the minds of foreign investors and companies, it would negatively impact our growth, so her concerns are welcome. But Rajan went too far with him saying that the government is misrepresenting.
Playpal - 6 hours ago -Follow
is there any area where Modi has not lied? Shameful that even IMF have pointed that he is providing fake data. He is serial liar and can tell lies without blinking.
Partha Roy - 4 hours ago -Follow
Left leaning intellectual speaking on the contrary is expected.
Hardeep Singh Sondhi - 4 hours ago -Follow
This govt. may be trying to fool the people of India but it cannot fool the world.
George Varghese - Location - 4 hours ago -Follow
The govt has destroyed India''s respectable data system. If an indicator goes against this silly govt, they go for a new and favourable survey.
John Fletcher - 5 hours ago -Follow
You cannot build an edifice on pure lies. GDP data is not reliable, job data is not available, black money data not available ... It is a shame that we are governed by congenital liars!
Jay - 4 hours ago -Follow
Fix economy problems rest will fall in place
Deepak - Karnataka - 6 hours ago -Follow
We knew this is a feku government and they did feku things with GDP!. Instead of concentrating to take steps which would have helped to boost the GDP, This third rate government fudged the Data to show NDA era growth as highest and UPA the lowest!. Now the world is doubting the government
我们都知道这届凤凰彩票政府捏造了虚假的GDP数据! 这个政府没有集中精力提振GDP，反而捏造数据，以证明人民党执政时代的增长最快，国大党时期的增长最慢! 现在全世界都对这个政府表示怀疑，
Bbg - 4 hours ago -Follow
We Indians suffer fron the tendency of ‘MY WAY OR HIGHWAY. We should respect the opinion of professionals. Most of the people abusing here leven can’t read the papers written by her.
Rajesh - 5 hours ago -Follow
when a 1km of 4 lane road can become 4km road, then it is not a surprise on the GDP nos.
Vijay - Mumbai - 5 hours ago
Forget all this BS about fastest growing/ World’s fifth largest economy etc. We are one of the poorest country in the world. No. 122 by per capita GDP and 130 by Human Development Index. Crores of people go to bed without proper meals. Phir Bhi Mera Bharat Mahan
RANJEET KOPPULLY - 5 hours ago -Follow
Why only indians even working for international agency have unnecessary questions regarding gdp why
Clarke - 5 hours ago -Follow
Modi and Jaitley doctored all data - people should punish them in this elections for making India a laughing stock before the world. They lied the nation on their performance for votes.
Suresh - Hong Kong - 5 hours ago -Follow
Raghuram Rajan's credibility suffered a huge dent when his contract as the RBI governor was not renewed which indirectly implied that he was not the man India needed. This is a big loss of face hurting his pride. He therefore leaves no opportunity to attack India when it suits him.
Spaceman - Earth - 5 hours ago -Follow
India is good at match fixing Ha Ha
George - 3 hours ago -Follow
It's really a scary situation to see that the government is manipulating key growth metrics to paint a wrong picture to the public. Even RBI Governor was asked to step down since he acted independently like the way RBI should.
Cybe Tron - 7 hours ago -Follow
The ruling government never cared for the GDP growth but misled Indians by giving wrong figures.
Chander - 3 hours ago -Follow
Do Gopinath and Rajan have the guts to talk like this about China? What about IMF, and other world economic bodies grading and rating India? Are all agencies wrong in case of India? These NRIs need to be strictly impartial. If they are so clever they can tell what is wrong in the calculation instead of saying 'something is wrong'.
Jk - 4 hours ago -Follow
fake figures are shown from last 4 yrs..