{"id":13877,"date":"2026-06-25T11:52:22","date_gmt":"2026-06-25T06:22:22","guid":{"rendered":"https:\/\/www.class24.study\/current-affairs\/?p=13877"},"modified":"2026-06-25T12:00:23","modified_gmt":"2026-06-25T06:30:23","slug":"modernised-indices-2024-25","status":"publish","type":"post","link":"https:\/\/www.class24.study\/current-affairs\/modernised-indices-2024-25\/","title":{"rendered":"Government Proposes Modernised Indices Anchored to 2024\u201325 Base Year"},"content":{"rendered":"<p><span style=\"font-weight: 400\">The Government of India is proposing to adopt the base year of the Modernised Indices as 2024-25 as a part of efforts towards greater accuracy and relevance in the economic statistics. Its goal is to revise or revamp broadly used economic indicators to reflect the new consumption patterns, production structures and market realities. The new Base Year for the Modernised Indices 2024-25 is likely to enhance the quality and reliability of economic policymaking, the ability to measure inflation, and support government planning. Economies are changing rapidly, and it is important that statistical indicators are kept relevant by undergoing periodic revisions in the base years.<\/span><\/p>\n<h2><span style=\"font-weight: 400\">Key highlights of the Base year for Modernised Indices 2024-25<\/span><\/h2>\n<ul>\n<li style=\"font-weight: 400\"><span style=\"font-weight: 400\">Major economic indicators to be proposed for revision by the Government.<\/span><\/li>\n<li style=\"font-weight: 400\"><span style=\"font-weight: 400\">The new framework would be based on the 2024-25 period.<\/span><\/li>\n<li style=\"font-weight: 400\"><span style=\"font-weight: 400\">The updated indices will be more in line with the current economic situation.<\/span><\/li>\n<li style=\"font-weight: 400\"><span style=\"font-weight: 400\">Changes with the intention of enhancing inflation and price measurement.<\/span><\/li>\n<li style=\"font-weight: 400\"><span style=\"font-weight: 400\">This will afford policymakers better and more reliable economic data.<\/span><\/li>\n<li style=\"font-weight: 400\"><span style=\"font-weight: 400\">With different consumption trends, statistical modernisation will be in line.<\/span><\/li>\n<li style=\"font-weight: 400\"><span style=\"font-weight: 400\">Better data for businesses and researchers.<\/span><\/li>\n<li style=\"font-weight: 400\"><span style=\"font-weight: 400\">The program helps information to inform the creation of effective policies.<\/span><\/li>\n<\/ul>\n<h2><span style=\"font-weight: 400\">What are the Modernised Indices 2024\u201325 Base Year?<\/span><\/h2>\n<p><span style=\"font-weight: 400\">The intention to revise and update economic activity, price, production and consumption trend indices is known as the Modernised Indices 2024\u201325 Base Year. This is a year in which a decision is made as a point of comparison with the rest of the economy. Consumer tastes, industrial organisation, technology and market environments evolve a lot over time. Thus, including the update of the base year makes sure the economic indicators are accurate and representative.<\/span><\/p>\n<h2><span style=\"font-weight: 400\">Objectives of Modernised Indices 2024\u201325 Base Year<\/span><\/h2>\n<ul>\n<li style=\"font-weight: 400\"><span style=\"font-weight: 400\">To enable the economic indices to reflect the present Indian economy in terms of its structure.<\/span><\/li>\n<li style=\"font-weight: 400\"><span style=\"font-weight: 400\">To reflect recent changes in consumption, the structure of production and the growth of service.<\/span><\/li>\n<li style=\"font-weight: 400\"><span style=\"font-weight: 400\">To make better use of data sources to enhance the accuracy and reliability of economic indicators.<\/span><\/li>\n<li style=\"font-weight: 400\"><span style=\"font-weight: 400\">To integrate administrative data (GST, databases by sectors, etc.).<\/span><\/li>\n<li style=\"font-weight: 400\"><span style=\"font-weight: 400\">Deliver timely and frequent information for policy making and economic analysis.<\/span><\/li>\n<li style=\"font-weight: 400\"><span style=\"font-weight: 400\">To improve the measurement of services with the new Index of Services Production (ISP).<\/span><\/li>\n<li style=\"font-weight: 400\"><span style=\"font-weight: 400\">To make different statistical indicators more comparable with the new base year.<\/span><\/li>\n<li style=\"font-weight: 400\"><span style=\"font-weight: 400\">To be updated with technological progress, digitalisation, and new economic activities.<\/span><\/li>\n<li style=\"font-weight: 400\"><span style=\"font-weight: 400\">To improve estimation methodologies to incorporate new weights and statistical practices of today.<\/span><\/li>\n<li style=\"font-weight: 400\"><span style=\"font-weight: 400\">To facilitate scientific research, and the government, business and investor considerations on the basis of science.<\/span><\/li>\n<\/ul>\n<h2><span style=\"font-weight: 400\">(PYQs) on Economic Indices, CPI, WPI &amp; Base Year Revision<\/span><\/h2>\n<table>\n<tbody>\n<tr>\n<td><b>Year<\/b><\/td>\n<td><b>Exam<\/b><\/td>\n<td><b>Question<\/b><\/td>\n<td><b>Options<\/b><\/td>\n<td><b>Answer<\/b><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400\">2024<\/span><\/td>\n<td><span style=\"font-weight: 400\">UPSC Prelims<\/span><\/td>\n<td><span style=\"font-weight: 400\">Which organisation releases the Consumer Price Index (CPI) in India?<\/span><\/td>\n<td><span style=\"font-weight: 400\">(a) RBI (b) NSO (c) NITI Aayog (d) SEBI<\/span><\/td>\n<td><b>(b) NSO<\/b><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400\">2023<\/span><\/td>\n<td><span style=\"font-weight: 400\">SSC CGL<\/span><\/td>\n<td><span style=\"font-weight: 400\">Inflation measured at the retail level is reflected by:<\/span><\/td>\n<td><span style=\"font-weight: 400\">(a) WPI (b) IIP (c) CPI (d) GDP Deflator<\/span><\/td>\n<td><b>(c) CPI<\/b><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400\">2022<\/span><\/td>\n<td><span style=\"font-weight: 400\">UPSC Prelims<\/span><\/td>\n<td><span style=\"font-weight: 400\">The Index of Industrial Production (IIP) measures changes in:<\/span><\/td>\n<td><span style=\"font-weight: 400\">(a) Agricultural Output (b) Industrial Production (c) Exports (d) Tax Revenue<\/span><\/td>\n<td><b>(b) Industrial Production<\/b><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400\">2021<\/span><\/td>\n<td><span style=\"font-weight: 400\">SSC CHSL<\/span><\/td>\n<td><span style=\"font-weight: 400\">Wholesale Price Index (WPI) measures price changes at what level?<\/span><\/td>\n<td><span style=\"font-weight: 400\">(a) Consumer Level (b) Wholesale Level (c) Retail Level (d) International Level<\/span><\/td>\n<td><b>(b) Wholesale Level<\/b><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400\">2020<\/span><\/td>\n<td><span style=\"font-weight: 400\">UPSC Prelims<\/span><\/td>\n<td><span style=\"font-weight: 400\">Which institution is responsible for compiling the Index of Industrial Production (IIP)?<\/span><\/td>\n<td><span style=\"font-weight: 400\">(a) RBI (b) NSO (c) Finance Commission (d) GST Council<\/span><\/td>\n<td><b>(b) NSO<\/b><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400\">2019<\/span><\/td>\n<td><span style=\"font-weight: 400\">RRB NTPC<\/span><\/td>\n<td><span style=\"font-weight: 400\">A base year in an index number serves as:<\/span><\/td>\n<td><span style=\"font-weight: 400\">(a) Target Year (b) Reference Year (c) Fiscal Year (d) Census Year<\/span><\/td>\n<td><b>(b) Reference Year<\/b><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400\">2018<\/span><\/td>\n<td><span style=\"font-weight: 400\">SSC CGL<\/span><\/td>\n<td><span style=\"font-weight: 400\">Which index is commonly used by the RBI for inflation targeting?<\/span><\/td>\n<td><span style=\"font-weight: 400\">(a) WPI (b) CPI Combined (c) IIP (d) BSE Sensex<\/span><\/td>\n<td><b>(b) CPI Combined<\/b><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400\">2017<\/span><\/td>\n<td><span style=\"font-weight: 400\">UPSC Prelims<\/span><\/td>\n<td><span style=\"font-weight: 400\">GDP at constant prices is calculated using:<\/span><\/td>\n<td><span style=\"font-weight: 400\">(a) Current Year Prices (b) Base Year Prices (c) International Prices (d) Market Prices Only<\/span><\/td>\n<td><b>(b) Base Year Prices<\/b><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400\">2016<\/span><\/td>\n<td><span style=\"font-weight: 400\">State PCS<\/span><\/td>\n<td><span style=\"font-weight: 400\">Revision of the base year helps to:<\/span><\/td>\n<td><span style=\"font-weight: 400\">(a) Reduce Population (b) Improve Data Relevance (c) Increase Taxes (d) Reduce Inflation<\/span><\/td>\n<td><b>(b) Improve Data Relevance<\/b><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400\">2015<\/span><\/td>\n<td><span style=\"font-weight: 400\">SSC CHSL<\/span><\/td>\n<td><span style=\"font-weight: 400\">Which of the following is a measure of inflation?<\/span><\/td>\n<td><span style=\"font-weight: 400\">(a) CPI (b) IIP (c) HDI (d) GDI<\/span><\/td>\n<td><b>(a) CPI<\/b><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p style=\"text-align: center\"><a href=\"https:\/\/www.class24.study\/current-affairs\/foreign-funding-norms\/\" target=\"_blank\" rel=\"noopener\">Government Tightens Foreign Funding Norms<\/a><\/p>\n<h2><span style=\"font-weight: 400\">Conclusion on India Tests New Statistical Indices Using 2024\u201325 Base Year<\/span><\/h2>\n<p><span style=\"font-weight: 400\">This initiative is an important step up in the evolution of the statistical ecosystem in India with the new proposed Base Year for Modernised Indices 2024-25. Adjustment of the economic indicators aims at better inflation measurement, policymaking, economic analysis and development planning as per the present economic situation. The Modernised Index Base Year initiative 2024-25 will ensure that the information on the economy remains relevant, accurate and that the structure of the Indian economy is reflected.<\/span><\/p>\n<h2><span style=\"font-weight: 400\">FAQs on Modernised Indices 2024\u201325 Base Year<\/span><\/h2>\n<div class=\"cfaq-wrapper\" data-multiple=\"0\"><div class=\"cfaq-item cfaq-open\"><button class=\"cfaq-question\" aria-expanded=\"true\"><span class=\"cfaq-question-text\">1. What are the Modernised Indices 2024\u201325 Base Year?<\/span><span class=\"cfaq-icon\"><\/span><\/button><div class=\"cfaq-answer\"><div class=\"cfaq-answer-inner\"><div><span style=\"font-size: 12.35px\">They are updated economic indices that use 2024\u201325 as the benchmark year for measuring economic changes.<\/span><\/div><\/div><\/div><\/div><div class=\"cfaq-item\"><button class=\"cfaq-question\" aria-expanded=\"false\"><span class=\"cfaq-question-text\">2. Why is the base year being revised?<\/span><span class=\"cfaq-icon\"><\/span><\/button><div class=\"cfaq-answer\" hidden><div class=\"cfaq-answer-inner\"><span style=\"font-size: 12.35px\">The revision ensures that economic indicators reflect current consumption patterns, production structures, and market realities.<\/span><\/div><\/div><\/div><div class=\"cfaq-item\"><button class=\"cfaq-question\" aria-expanded=\"false\"><span class=\"cfaq-question-text\">3. Which indices may be updated?<\/span><span class=\"cfaq-icon\"><\/span><\/button><div class=\"cfaq-answer\" hidden><div class=\"cfaq-answer-inner\"><div><span style=\"font-size: 12.35px\">Major indices such as CPI, WPI, IIP, and national accounts statistics may be revised.<\/span><\/div><\/div><\/div><\/div><div class=\"cfaq-item\"><button class=\"cfaq-question\" aria-expanded=\"false\"><span class=\"cfaq-question-text\">4. How will the Modernised Indices 2024\u201325 Base Year benefit policymakers?<\/span><span class=\"cfaq-icon\"><\/span><\/button><div class=\"cfaq-answer\" hidden><div class=\"cfaq-answer-inner\"><div><span style=\"font-size: 12.35px\">They will provide more accurate and reliable economic data for decision-making and planning.<\/span><\/div><\/div><\/div><\/div><div class=\"cfaq-item\"><button class=\"cfaq-question\" aria-expanded=\"false\"><span class=\"cfaq-question-text\">5. Why are base-year revisions important?<\/span><span class=\"cfaq-icon\"><\/span><\/button><div class=\"cfaq-answer\" hidden><div class=\"cfaq-answer-inner\"><div><span style=\"font-size: 12.35px\">They improve statistical accuracy, strengthen economic analysis, and align indicators with current economic conditions.<\/span><\/div><\/div><\/div><\/div><\/div>\n","protected":false},"excerpt":{"rendered":"<p>The Government of India is proposing to adopt the base year of the Modernised Indices as 2024-25 as a part of efforts towards greater accuracy and relevance in the economic statistics. Its goal is to revise or revamp broadly used economic indicators to reflect the new consumption patterns, production structures and market realities. The new [&hellip;]<\/p>\n","protected":false},"author":4,"featured_media":13878,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[14],"tags":[],"class_list":["post-13877","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-economy"],"acf":[],"_links":{"self":[{"href":"https:\/\/www.class24.study\/current-affairs\/wp-json\/wp\/v2\/posts\/13877","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.class24.study\/current-affairs\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.class24.study\/current-affairs\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.class24.study\/current-affairs\/wp-json\/wp\/v2\/users\/4"}],"replies":[{"embeddable":true,"href":"https:\/\/www.class24.study\/current-affairs\/wp-json\/wp\/v2\/comments?post=13877"}],"version-history":[{"count":2,"href":"https:\/\/www.class24.study\/current-affairs\/wp-json\/wp\/v2\/posts\/13877\/revisions"}],"predecessor-version":[{"id":13881,"href":"https:\/\/www.class24.study\/current-affairs\/wp-json\/wp\/v2\/posts\/13877\/revisions\/13881"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.class24.study\/current-affairs\/wp-json\/wp\/v2\/media\/13878"}],"wp:attachment":[{"href":"https:\/\/www.class24.study\/current-affairs\/wp-json\/wp\/v2\/media?parent=13877"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.class24.study\/current-affairs\/wp-json\/wp\/v2\/categories?post=13877"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.class24.study\/current-affairs\/wp-json\/wp\/v2\/tags?post=13877"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}