The Interview With Karan Thapar

The Wire

From incisive questions to insightful responses, the most definitive interviews that you need to watch out for.

  1. 4 Sept

    Q1 GDP growth “difficult to accept” but S. C. Garg is “conceptually illogical”

    Q1 GDP growth "difficult to accept" but S. C. Garg is "conceptually illogical" and completely wrong: former Chief Statistician, Pronab Sen, to Karan Thapar for The Wire. ....................................... Today we focus on the recently released Q1 GDP figure. It’s created a storm of controversy. So we ask is the 7.8% figure credible or, as former Finance Secretary Subhash Chandra Garg has said, should it be 2.6%? Beyond that why do we frequently overestimate GDP growth? And how accurately are we calculating GDP? My guest is the one man who should know the answers to these questions, India’s former Chief Statistician, Pronab Sen. In the interview, Prof. Sen suggests that for the next five years the government should issue GDP growth figures according to two separate series, one that uses the old series as the base and the second that uses the new series as the base. Prof. Sen says this will make for transparency. As regards the general overestimation of GDP growth, Prof. Sen says that the government must by the middle of next year issue back series figures stretching all the way to 2011-12 on the basis of the new methodology for calculating GDP introduced in February this year. This is because he believes we have been overestimating GDP growth for the last decade and a half, which has been, hopefully, corrected by the new series and, therefore, issuing back figures is essential. Finally, Prof. Sen says that in his opinion the C Grade given to India by the IMF for the way it calculates GDP is warranted and justified.

    Q1 GDP growth “difficult to accept” but S. C. Garg  is “conceptually illogical”

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From incisive questions to insightful responses, the most definitive interviews that you need to watch out for.

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