India’s Fiscal Fortune

Indian Prime Minister Narendra Modi's government must be feeling lucky. The decline in world commodity prices, led by crude oil, has made managing the national budget easier – and now, after the Central Statistics Office revised its methodology for calculating GDP data, that task has become easier still.

CAMBRIDGE – Indian Prime Minister Narendra Modi's government must be feeling lucky. The decline in world commodity prices, led by crude oil, has made managing the national budget easier. And now, after the Central Statistics Office revised its methodology for calculating GDP data, that task has become easier still. According to the CSO, as a result of the methodological change, annual output growth in the second quarter of 2014 stood at 8.2%, up sharply from the original estimate of 5.3%.

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