MONITORING NATIONAL DEVELOPMENT – INDIA International Forum on Monitoring National Development

1. MONITORING NATIONAL DEVELOPMENT – INDIA International Forum on Monitoring National Development Issues & Challenges Beijing, 27-29 September, 2011 Ministry of Statistics and Programme Implementation Government of India ----------

2. INDIAN STATISTICAL SYSTEM • Ancient Origins • Colonial beginnings • DGCIS • Census • The Mahalonobis Era • Planning • Command & Control • Liberalisation and Beyond Prof. P. C Mahalanobis (29-6-1893 to 28-6-1972) Statistics must have a clearly defined purpose, one aspect of which is scientific advance and the other, human welfare and national development.

3. MAJOR ECONOMIC DEVELOPMENT • Acceleration of annual growth of GDP (3.5% in the pre-reformed period to 8-9% during the last decade) • Altered Structure of Economy • Primary sector no more dominant • Major share of GDP by Tertiary Sector followed by Secondary Sector • Economic diversification in terms of nature of activities, forms of enterprises • Stimulated infrastructure development with PPP • Revenue sharing by federal states (13 Finance Commission)

4. THREE TIER DECENTRALISED SYSTEM National Statistical System – Tier -I Laterally & Horizontlydecentralised Directorate of Economics and Statistics Tier –II : Sub-National Statistical System; 35 Such Entities State/ UTs State/ UTs State/ UTs District/ Local Administration District/ Local Administration District/ Local Administration Tier –III: Sub-Sub-Statistical System-; 600 + entities 4

5. NSO, MOSPI MOSPI Line Ministries State Line Department State DES Standards Investment Training Data, Result and Milestones District Administrations Local Administrations

6. REVAMPING OF STATISTICAL SYSTEM CONT_ _ _ • A National Commission comprising of members from economics and statistical fields ( representing user Groups) set up in 2000 for critical examination of the entire system. • Adopted the following five broad approaches to rejuvenate the existing system viz. • Reform in the administrative structure of the Indian Statistical System and upgrading its infrastructure to ensure autonomy; • Improvement in the system of data collection; • Explore alternative techniques in relation to existing statistics; • Identification of new data series that may be necessary to keep pace with the changes occuring in the socio-economic sectors; and • Evolution of appropriate methodologies for collection of data in relation to new data techniques. • The Commissions report, placed in the Parliament in 2001 contained several recommendations for restructuring the system and recommended remedial measures for strengthening the system.

7. REVAMPING OF STATISTICAL SYSTEM CONT_ _ _ Crucial Deficiencies: • Gaps in availability of needed information • Delays in Publication of Results • Discrepancies in statistics from different sources • Weak infrastructure • Poor horizontal and vertical coordination • Lack of transparency in statistical processes. Recommended: • Establishment of Permanent Statistical Commission • Restructuring of the NSO • Assessment of the State Statistical System

8. The Response • The setting up of a permanent National Statistical Commission (NSC) independent of the government and responsible to the Parliament in respect of policy making, coordination and certification of quality of core statistics. The Secretary of the Commission is the Chief Statistician of the country who also heads the NSO. • The Collection of Statistics Act 2008 has been enacted replacing the earlier one (1953). • Undertaking a World Bank assisted India Statistical Strengthening Project (ISSP) for improvement and strengthening of the Statistical System in India focusing on the capacity building needs particularly at the regional (state) level. • Other initiatives pertains to – improvement in quality, coverage and timeliness of National and State Accounts Statistics, Consumer Price Index Series, Index of Industrial Production Series and Data generated through Annual Survey of Industries, etc We also institutionalised training through a full time permanent training Centre NASA

9. INDIA STATISTICAL STRENGTHENING PROJECT (ISSP) To strengthen the State Statistical Systems which is most critical in the context of strengthening the National Statistical System to meet growing data requirements both at national and international levels. ISSP is a critical tool to provide framework for implementing the National State Statistical Plan (NSSP). To provide Reliable, Timely and Credible Social and Economic Statistics.

10. INDIA STATISTICAL STRENGTHENING PROJECT (ISSP) CONT_ _ _ State Strategic Statistical Plan It outlines the Vision and planning of the State Statistical System besides defining the strategies for implementation and monitoring of the progress of outputs and outcomes. Broad area of activities/support envisaged under SSSPs aim at: Improving management and coordination of statistical activities. Human Resource Development (improvement of statistical skills and capacity). Developing statistical infrastructure including civil works and creation of extensive ICT facilities. Conducting Surveys and Studies. Improving statistical operations (data collection, processing, management and dissemination) particularly for 20 key areas. Statutory support to the State statistical system.

11. INDIA STATISTICAL STRENGTHENING PROJECT (ISSP) CONT_ _ _ Key statistical areas 1. Estimation of State Domestic Product. 2. Estimation of Capital formation and Savings. 3. Estimation of District Domestic Product. 4. Estimation of the contribution of local bodies. 5. Compilation of data on major Fiscal variables. 6. Participation in the conduct of Annual Survey of Industries. 7. Compilation of Index of Industrial Production. 8. Estimation of Crop area and Production. 9. Compilation of Wholesale Price Index numbers. 10. Compilation of Consumer Price Index numbers.

12. INDIA STATISTICAL STRENGTHENING PROJECT (ISSP) CONT_ _ _ Key statistical areas 11. Collection and compilation of Health, morbidity and mortality and family welfare statistics. 12. Collection and compilation of Education and Literacy statistics. 13. Collection and compilation of Labour and Employment statistics. 14. Collection and compilation of Housing statistics. 15. Birth and Death registration and Population. 16. Compilation of Electricity production and distribution statistics. 17. Compilation of Environment and Forest statistics. 18. Participation in the surveys of National Sample Survey Organisation. 19. Compilation of Transport statistics. 20. Collection and compilation of Statistics for local area planning.

13. SOME KEY EXPECTED BENEFITS AND OUTCOMES • Identify and Effectively address unmet and under-met demands for data/information, including that concerning emerging needs and sun rise sectors (e.g. climate change, gender, domestic violence…). • Statistical System – Better Co-ordinated. • More efficient use of Resources by Statistical Agencies and/or for Statistical Operations. • Greater client focus. • More Policy Relevant Data, in alignment with the ever changing socio-economic milieu. • Enhanced Levels of Transparency (Metadat). • Safeguarding of and ensuring statistical integrity

14. FUTURE CHALLENGES LOCAL LEVEL DEVELOPMENT • Major shift in the framework of Governance. • Decentralization of Governance (73 and 74 constitutional amendments.) • Democratically elected grass root institutions of Local Self Governance. • About 2.5 lakhs panchayats and 5000 Town Council. • Elected bodies to evolve their local plans for economic and social development.

15. LOCAL LEVEL PLANNING - REQUIREMENTS • Identification of local level statistics. • Developing basic capabilities at grass root level to harmoniously organize such statistics. • Development of local planning, effective implementation & monitoring of various social and economic programmes by grass root level institutions. • Availability of data and information on vital indicators at local level.

16. BASIC STATISTICS FOR VILLAGE LEVEL DEVELOPMENT (BSVLD) Present Status: • Large pilot testing for viability and identification of sources undertaken in 32 states. • Reports received. • Formulation of a scheme incorporating the findings is under process.

17. In conclusion • Economic Management in a decentralized federal economy, requires significant innovation in both institutions and statistical products to meet the development challenge.