6. Recent Developments in GDP Measurement

♤ The growth rate will now be measured by GDP at constant market prices, which will henceforth be referred to as 'GDP'. This is the international practice. Earlier, growth was measured in terms of growth rate in GDP at factor cost at constant prices.

♤ The sector-wise estimates of gross value added (GVA) will now be given at basic prices

instead of factor cost.

♤ Use of MCA21 database which is the annual accounts of companies filed with Ministry of Corporate Affairs. It will expand the coverage of corporate sector both in manufacturing and services. Also, the database for manufacturing companies will help account for activities other than manufacturing undertaken by these companies

♤ Comprehensive coverage of the financial sector by inclusion of information from the accounts of stock brokers, stock exchanges, asset management companies, mutual funds and pension funds, and the regulatory bodies – SEBI, PFRDA and IRDA.

♤ Improved coverage of activities of local bodies and autonomous institutions, covering around 60 per cent of the grants/transfers provided to these institutions.