India, recently updated its Consumer Price Index to a new base year of 2024. On paper, this is a routine statistical revision. But in reality, it may reveal something much bigger about the Indian economy.
Food’s weight in inflation has fallen sharply. Services now dominate growth. Formalisation, digitalisation and rising consumption are reshaping the structure of India’s new economy.
So the real question is this:
Is the rebasing of the CPI series a simple technical update? Or does it capture a fundamental makeover of the Indian economy as it transitions to a new growth trajectory?
To unpack what the GDP rebasing means for growth, inflation, monetary policy and the future of India’s consumer economy, StratNewsGlobal.Tech spoke to Himanshu, Associate Professor at the Jawaharlal Nehru University and a member of the high-level expert group that guided the rebasing of the CPI on Capital Calculus.
