The Ministry of Statistics and Programme Implementation (MoSPI) announced on July 30, 2026 that India will replace the Wholesale Price Index (WPI) with the Output Producer Price Index (PPI) as the price deflator for calculating real GDP. PPI is the internationally recommended measure (per IMF guidelines) as it tracks only domestically produced goods prices, excluding imports — making it more accurate for GDP deflation than WPI which includes import and export prices. This reform aligns India's national accounting with global best practices. MoSPI also releases India's monthly CPI, WPI, Industrial Production Index (IIP), and quarterly GDP estimates.
Economy
MoSPI Announces Replacement of WPI with Producer Price Index (PPI) for GDP Deflation — Major National Accounting Reform
Key Points
- The Ministry of Statistics and Programme Implementation (MoSPI) announced on July 30, 2026 that India will replace the Wholesale Price Index (WPI) with the Output Producer Price Index (PPI) as the price deflator for calculating real GDP
- PPI is the internationally recommended measure (per IMF guidelines) as it tracks only domestically produced goods prices, excluding imports — making it more accurate for GDP deflation than WPI which includes import and export prices
- This reform aligns India's national accounting with global best practices
- MoSPI also releases India's monthly CPI, WPI, Industrial Production Index (IIP), and quarterly GDP estimates
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• MoSPI: WPI replaced by Output PPI for GDP deflation (July 30, 2026) • PPI: IMF recommended; tracks domestically produced goods only; excludes imports (more accurate for GDP) • WPI: includes imports + exports; less suitable for GDP deflation • MoSPI: Ministry of Statistics and Programme Implementation; releases CPI, WPI, GDP, IIP
