The Government of India has taken a significant step in ensuring data accuracy and reliability by appointing a panel led by Pronab Sen, former Chief Statistician of India, to review the methodology of the National Statistical Organisation (NSO). This move comes as part of the Ministry of Statistics and Programme Implementation’s (MoSPI) initiative to enhance the quality and relevance of official data. The newly formed Standing Committee on Statistics (SCoS) will replace the earlier Standing Committee on Economic Statistics (SCES) and offer broader and more comprehensive guidance on various data sets.
The Transition: SCES to SCoS
The Standing Committee on Economic Statistics (SCES), established in 2019, played a crucial role in reviewing the framework for economic indicators, particularly concerning industrial and service sectors, and labor force statistics. However, with its focus mainly on high-frequency data like the Index of Industrial Production (IIP) and the Consumer Price Index (CPI), it had limitations. In contrast, the new Standing Committee on Statistics (SCoS) boasts enhanced terms of reference, allowing it to advise the Ministry on all existing surveys and data sets, as well as identify areas where data gaps exist. The SCoS will also be empowered to propose methods to fill these gaps and carry out pilot surveys and studies to fine-tune new approaches for more accurate data collection.
Addressing the Data Gap
The need for reviewing the methodology of the National Statistical Organisation arises from the critical role national-level data plays in research, policymaking, and development planning. Accurate and reliable data is of utmost importance in understanding and analyzing various aspects of the country’s progress. Unfortunately, the usage of outdated survey methodologies by prominent surveys like the National Sample Survey (NSS), National Family Health Survey (NFHS), and Periodic Labour Force Survey (PLFS) has resulted in the systematic underestimation of India’s development.
The Dynamic Indian Economy
India’s economy has undergone significant transformations over the last three decades, becoming incredibly dynamic and diverse. The conventional methodologies employed by the NSO have struggled to capture this reality accurately. As a result, the data provided might not fully reflect the nation’s current socioeconomic landscape, potentially leading to inadequate policy decisions and development strategies.
Pronab Sen Committee’s Objectives
Under the leadership of Pronab Sen, the committee’s primary objectives are to modernize and refine the methodology employed by the NSO in data collection and analysis. By harnessing innovative approaches and modern technologies, the committee aims to bridge existing data gaps and ensure that the data generated aligns more closely with the actual ground reality. This would significantly enhance the credibility and utility of the data for various stakeholders, including researchers, policymakers, and businesses.
The Compact and Efficient SCoS
A notable aspect of the new Standing Committee on Statistics is its reduced size compared to its predecessor. While the SCES consisted of 28 members, the SCoS is composed of a smaller panel. This streamlining is expected to improve the efficiency of the committee’s decision-making process, enabling quicker responses to emerging data-related challenges and opportunities.
