New Index of Services Production will track services sector growth with a 60-day reporting lag and FY25 as the base year.
Key Highlights
- India to launch the first-ever Index of Services Production (ISP).
- Base year for the index is FY2024-25.
- First ISP data release scheduled for July 14, 2026.
- Index will be published monthly with a 60-day lag.
- ISP will serve as the services-sector counterpart of the IIP.
- Covers banking, telecom, trade, hospitality, real estate, and other services.
- Healthcare and education sectors may be added later.
- Data will be sourced from GST returns, administrative records, and surveys.
- Services sector contributes over 50% of India’s GVA.
- Index aims to improve tracking of short-term economic trends.
News Story:
New Delhi, June 24, 2026: India will begin publishing its first-ever Index of Services Production (ISP) from July 14, 2026, marking a significant step toward improving the measurement of the country’s fast-growing services sector.
The Ministry of Statistics and Programme Implementation (MoSPI) announced that the new index, with 2024-25 as the base year, will be released every month with a 60-day lag, providing a high-frequency indicator of services sector performance similar to the Index of Industrial Production (IIP) for manufacturing and industry.
The inaugural release will cover April 2026 data, while subsequent releases will be published on the 29th of every month or the next working day if the date falls on a holiday.
New Indicator for India’s Largest Sector
The ISP has been developed as a counterpart to the IIP and is designed to measure short-term changes in the output of India’s services economy, which contributes more than 50% of the country’s Gross Value Added (GVA).
The index will track real output growth across a broad range of services industries, helping policymakers, economists, businesses, and investors better assess economic trends.
Wide Coverage Across Service Industries
The ISP will initially cover several key service sectors, including:
- Wholesale and retail trade
- Transport and logistics
- Banking services
- Insurance
- Telecommunications
- Hotels and restaurants
- Real estate
- Professional, scientific and technical services
- Arts, entertainment and recreation
The government also plans to include healthcare and education services in the future after the completion of the Annual Survey of Incorporated Services Sector Enterprises (ASISSE).
Developed with Expert Guidance
The framework for the new index was finalized following consultations with a Technical Advisory Committee established in May 2025.
The committee was chaired by Debjani Ghosh and included representatives from academia, industry bodies, government departments, and service-sector ministries.
Data Sources and Methodology
MoSPI will compile the ISP using multiple data sources, including:
- Administrative datasets
- GST return filings
- Annual Survey of Incorporated Services Sector Enterprises (ASISSE)
As GST-based statistical applications are being used for the first time in this framework, the ministry will initially release experimental or trial indices to test data stability and reliability before moving to regular publication.
Better Insights into Economic Growth
Officials said the ISP will help strengthen India’s statistical infrastructure by providing timely information on services-sector performance, complementing existing indicators such as GDP and IIP.
The ministry also noted that price deflators will be used to convert nominal service revenues into real output measures, ensuring that the index reflects actual growth in services activity rather than changes in prices.
