India may swap GDP for NDP to track economic growth
India might soon start using Net Domestic Product (NDP) instead of the usual Gross Domestic Product (GDP) to measure how the economy's really doing.
This move, backed by new global guidelines, is about getting a clearer picture of actual progress—by factoring in the wear and tear on things like buildings and machines that GDP usually ignores.
Why should you care?
Switching to NDP means India could potentially focus more on what's truly sustainable, not just big headline numbers.
For example, after subtracting depreciation, India's real income is quite a bit lower than its GDP suggests.
With big goals like becoming a $7.3 trillion economy by 2030 and new data sources like UPI payments being added to the new GDP series in 2026, this shift could potentially change how we talk about growth—not just here but worldwide—emphasizing well-being over raw output.