New Delhi, Dec 3 || The International Monetary Fund’s (IMF) Article IV annual assessment of India’s economic framework released last week states that the country’s strong economic performance has benefitted from sound macroeconomic policies and earlier structural reforms. It further states that despite external headwinds, growth is expected to remain resilient, with inflation remaining subdued.
However, oddly enough at the same time, it has given India’s national accounts statistics, which includes key figures such as Gross Domestic Product (GDP) and Gross Value Added (GVA), a C grade. Yet overall, across all data categories, India has received a sound B grade. There are four grades in total: A, B, C and D.
The IMF’s criticism is focused on the methodology of India’s statistical system, but does not question the authenticity of the data.
“National accounts data are available at adequate frequency and timeliness and provide broadly adequate granularity. However, some methodological weaknesses somewhat hamper surveillance and warrant an overall sectoral rating for the national accounts of C,” the IMF stated.