{"id":339764,"date":"2025-06-07T20:51:04","date_gmt":"2025-06-07T15:21:04","guid":{"rendered":"https:\/\/forumias.com\/blog\/?p=339764"},"modified":"2025-06-15T17:53:11","modified_gmt":"2025-06-15T12:23:11","slug":"india-must-improve-income-to-raise-human-development-ranking","status":"publish","type":"post","link":"https:\/\/forumias.com\/blog\/india-must-improve-income-to-raise-human-development-ranking\/","title":{"rendered":"India must improve income to raise human development ranking"},"content":{"rendered":"<p><strong>Source<\/strong>: The post India must improve income to raise human development ranking has been created, based on the article \u201c<strong>HDI has a heavy income bias<\/strong>\u201d published in \u201c<strong>Businessline<\/strong>\u201d on 7th June 2025.<strong>India must improve income to raise human development ranking.<\/strong><\/p>\n<p><img data-recalc-dims=\"1\" loading=\"lazy\" decoding=\"async\" class=\" wp-image-340412 aligncenter\" src=\"https:\/\/i0.wp.com\/forumias.com\/blog\/wp-content\/uploads\/2025\/06\/India-must-improve-income-to-raise-human-development-ranking.png?resize=589%2C391&#038;ssl=1\" alt=\"India must improve income to raise human development ranking\" width=\"589\" height=\"391\" srcset=\"https:\/\/i0.wp.com\/forumias.com\/blog\/wp-content\/uploads\/2025\/06\/India-must-improve-income-to-raise-human-development-ranking.png?resize=300%2C199&amp;ssl=1 300w, https:\/\/i0.wp.com\/forumias.com\/blog\/wp-content\/uploads\/2025\/06\/India-must-improve-income-to-raise-human-development-ranking.png?resize=1024%2C680&amp;ssl=1 1024w, https:\/\/i0.wp.com\/forumias.com\/blog\/wp-content\/uploads\/2025\/06\/India-must-improve-income-to-raise-human-development-ranking.png?resize=768%2C510&amp;ssl=1 768w, https:\/\/i0.wp.com\/forumias.com\/blog\/wp-content\/uploads\/2025\/06\/India-must-improve-income-to-raise-human-development-ranking.png?w=1280&amp;ssl=1 1280w\" sizes=\"auto, (max-width: 589px) 100vw, 589px\" \/><\/p>\n<p><strong>UPSC Syllabus Topic:<\/strong> GS Paper 3<\/p>\n<p><strong>Context<\/strong>: India\u2019s Human Development Index (HDI) ranking improved from <strong>133 in 2022 to 130 in 2023<\/strong>, with the HDI value rising from <strong>0.676 to 0.685<\/strong>, as per the <strong>2025 UNDP Human Development Report<\/strong>. This calls for a closer look at long-term HDI progress and the role of <strong>per capita income<\/strong>.<\/p>\n<p>For detailed information on <strong>India<\/strong><strong>\u2019<\/strong><strong>s Performance in Human Development Index<\/strong> <a href=\"https:\/\/forumias.com\/blog\/indias-performance-in-human-development-index\/\">read this article here <\/a><\/p>\n<h2><strong>India<\/strong><strong>\u2019<\/strong><strong>s HDI Progress Over Time<\/strong><\/h2>\n<ol>\n<li><strong>Long term HDI growth:<\/strong> Between <strong>1990 and 2023<\/strong>, India\u2019s HDI increased from <strong>0.446 to 0.685<\/strong>, a <strong>53% rise<\/strong> over 33 years, with an annual growth of <strong>1.31%<\/strong>. This pace is faster than the global and South Asian averages.<\/li>\n<li><strong> Gains in HDI Components:<\/strong><\/li>\n<\/ol>\n<ul>\n<li><strong>Gross national income (GNI) per capita<\/strong> rose from <strong>$2,167 to $9,048<\/strong> (PPP).<\/li>\n<li><strong>Life expectancy<\/strong> increased from <strong>58.6 to 72 years<\/strong>.<\/li>\n<li><strong>Expected years of schooling<\/strong> rose from <strong>8.2 to 13 years<\/strong>.<\/li>\n<\/ul>\n<h2>These are significant achievements since economic reforms.<\/h2>\n<ol start=\"3\">\n<li><strong> Comparative ranking: <\/strong>India lags behind <strong>Russia (64), China (75), Brazil (84), Sri Lanka (78), Indonesia (113)<\/strong>, and <strong>Philippines (117)<\/strong>. It shares its <strong>130th rank with Bangladesh<\/strong>, while staying ahead of <strong>Nepal (145), Myanmar (149)<\/strong>, and <strong>Pakistan (168)<\/strong>.<\/li>\n<\/ol>\n<h2><strong>Per Capita Income and HDI Challenges<\/strong><\/h2>\n<ol>\n<li><strong>Medium development status: <\/strong>With an HDI of <strong>0.685<\/strong>, India falls in the <strong>medium human development category<\/strong>, approaching the <strong>0.700 threshold<\/strong> for high development. Low per capita income delays further advancement.<\/li>\n<li><strong> Component based Disparities: <\/strong>HDI has three equal components: <strong>health<\/strong>, <strong>education<\/strong>, and <strong>income<\/strong>. India\u2019s <strong>per capita income rank is 123<\/strong>, lower than <strong>life expectancy (112)<\/strong> and <strong>expected schooling (114)<\/strong>. <strong>Mean years of schooling ranks even lower at 143<\/strong>.<\/li>\n<li><strong>Impact of demographics:<\/strong>India\u2019s high population reduces per capita income. Had the population remained at the <strong>2000 level<\/strong>, GNI per capita would be <strong>$12,282<\/strong>, with a rank of <strong>114<\/strong>. Population stabilisation is expected <strong>only after 2050<\/strong>, slowing HDI gains.<\/li>\n<\/ol>\n<h2><strong>Limitations of HDI Aggregation<\/strong><\/h2>\n<ol>\n<li><strong> Concern over methodology:,<\/strong>Economist <strong>T.N. Srinivasan<\/strong> criticised HDI\u2019s structure, calling it an <strong>arbitrarily weighted sum<\/strong> of unrelated indicators, lacking true multidimensional meaning.<\/li>\n<li><strong> Income dominance in rankings:<\/strong> Despite its broader scope, HDI correlates strongly with income. For all countries, the <strong>rank correlation between GDP per capita and HDI is 0.97<\/strong>. For medium HDI countries, it is <strong>0.78<\/strong>, showing income\u2019s strong influence.<\/li>\n<\/ol>\n<h2><strong>Conclusion<\/strong><\/h2>\n<p>India\u2019s HDI has improved steadily, but <strong>low per capita income<\/strong>, driven by population size, limits its ranking. Since <strong>income strongly influences HDI<\/strong>, <strong>fast economic growth<\/strong> remains essential to achieve better human development outcomes.<\/p>\n<p><strong>Question for practice:<\/strong><\/p>\n<p><strong>Examine<\/strong> how per capita income influences India\u2019s Human Development Index ranking and overall progress.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Source: The post India must improve income to raise human development ranking has been created, based on the article \u201cHDI has a heavy income bias\u201d published in \u201cBusinessline\u201d on 7th June 2025.India must improve income to raise human development ranking. UPSC Syllabus Topic: GS Paper 3 Context: India\u2019s Human Development Index (HDI) ranking improved from&hellip; <a class=\"more-link\" href=\"https:\/\/forumias.com\/blog\/india-must-improve-income-to-raise-human-development-ranking\/\">Continue reading <span class=\"screen-reader-text\">India must improve income to raise human development ranking<\/span><\/a><\/p>\n","protected":false},"author":10320,"featured_media":340412,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"jetpack_post_was_ever_published":false,"footnotes":""},"categories":[1230],"tags":[12121,216,8184],"class_list":["post-339764","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-9-pm-daily-articles","tag-businessline","tag-gs-paper-3","tag-indian-economy","entry"],"jetpack_featured_media_url":"https:\/\/i0.wp.com\/forumias.com\/blog\/wp-content\/uploads\/2025\/06\/India-must-improve-income-to-raise-human-development-ranking.png?fit=1280%2C850&ssl=1","views":"","jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts\/339764","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/users\/10320"}],"replies":[{"embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/comments?post=339764"}],"version-history":[{"count":0,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts\/339764\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/media\/340412"}],"wp:attachment":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/media?parent=339764"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/categories?post=339764"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/tags?post=339764"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}