Trends in GDP Deflator in India

GDP Deflator An economic metric that accounts for inflation by converting output measured at current prices into constant-dollar GDP. The GDP deflator shows how much a change in the base year's GDP relies upon changes in the price level. Also known as the "GDP implicit price deflator". Because it isn't based on a fixed basket of goods and services, the GDP deflator has an advantage over the Consumer Price Index. Changes in consumption patterns or the introduction of new goods and services are automatically reflected in the deflator. It is measured as the ratio of GDP at current prices to GDP at constant prices also provides information on the trends in the general price level. At present, the GDP deflator is available for the economy as a whole and the major sub-sectors. GDP deflator is considered as one of the most representative indicators of economy-wide inflation as it includes all transactions within the economy. The information on GDP deflator, however, is available with a time lag of more than two months, making it less useful for monetary policy purposes. The formula used to calculate the deflator is: GDP Deflator = Nominal GDP Real GDP Dividing the nominal GDP by the GDP deflator and multiplying it by 100 would then give the figure for real GDP, hence deflating the nominal GDP into a real measure.

GDP deflator (base year varies by country)

GDP deflator (base year varies by country) in India was 148.65 as of 2010. Its highest value over the past 50 years was 148.65 in 2010, while its lowest value was 5.02 in 1960.

Year Value Year Value Year Value Year Value Year Value

1961 5.13 1971 7.56 1981 18.59 1991 43.55 2001 85.59

1962 5.35 1972 8.38 1982 20.1 1992 47.46 2002 88.84

1963 5.77 1973 9.87 1983 21.82 1993 52.11 2003 91.99

1964 6.27 1974 11.52 1984 23.54 1994 57.33 2004 100

1965 5.43 1975 11.33 1985 25.25 1995 62.53 2005 104.18

1966 6.14 1976 12.01 1986 26.97 1996 67.25 2006 110.86

1967 6.67 1977 12.68 1987 29.49 1997 71.59 2007 117.24

1968 6.84 1978 13 1988 31.91 1998 77.3 2008 125.09

1969 7.06 1979 15.05 1989 34.6 1999 80.24 2009 134.52

1970 7.18 1980 16.78 1990 38.29 2000 83.07 2010 148.65

Inflation; GDP deflator (annual %) in India The Inflation; GDP deflator (annual %) in India was last reported at 10.50 in 2010, according to a World Bank report released in 2011. The Inflation; GDP deflator (annual %) in India was 7.54 in 2009, according to a World Bank report, published in 2010. The Inflation; GDP deflator (annual %) in India was reported at 6.69 in 2008, according to the World Bank. Inflation as measured by the annual growth rate of the GDP implicit deflator shows the rate of price change in the economy as a whole. The GDP implicit deflator is the ratio of GDP in current local currency to GDP in constant local currency. This page includes a historical data chart, news and forecasts for Inflation; GDP deflator (annual %) in India. India's diverse economy encompasses traditional village farming, modern agriculture, handicrafts, a wide range of modern industries, and a multitude of services. Services are the major source of economic growth, accounting for more than half of India's output with less than one third of its labor force. The economy has posted an average growth rate of more than 7% in the decade since 1997, reducing poverty by about 10 percentage points. From 1991 to 2011