ECONOMY
Services index to be launched in July to add to IIP and give a better picture of economy
- IBJ Bureau
- Jun 25, 2026
The Ministry of Statistics and Programme Implementation (MoSPI) is set to launch the Index of Services Production (ISP) in July 2026.
The base year for the index has been fixed as 2024-25.
This will introduce a new monthly macroeconomic indicator, aimed at measuring short-term changes in the growth of India’s services sector.
Designed as the services sector counterpart to the Index of Industrial Production (IIP), the ISP will provide high-frequency data on the performance of formal service industries and strengthen the country’s economic monitoring framework.
The services sector has contributed more than 50 per cent of India’s Gross Value Added (GVA) since 2013-14, making it the largest component of the economy.
MoSPI had constituted a Technical Advisory Committee (TAC) on ISP in May 2025 under the chairpersonship of Debjani Ghosh to support policymaking and align with international practices.
Following extensive consultations, an approach paper outlining the methodology and framework for the index was released in April 2026 for stakeholders’ feedback.
The TAC report is expected in the first fortnight of July 2026.
The ISP will initially cover key formal sector service activities, including wholesale and retail trade, transport, banking, insurance, telecommunications, hotels and restaurants, real estate, professional and technical services and arts and entertainment.
Health and education services will be added later after data from the Annual Survey of Incorporated Services Sector Enterprises (ASISSE) becomes available.
According to MoSPI, the ISP will provide timely insights into the performance of the services sector, complement the IIP in tracking economic trends, improve economic forecasting and business cycle analysis and support evidence-based policymaking.
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