๐Ÿ“˜ Indian Economy โ€“ 300 Static Facts (Professional Notes Series)


๐Ÿงญ 1. Nature and Features of Indian Economy

  1. India is a mixed economy โ€” combining public and private sectors.
  2. Developing economy โ€” high population, low per capita income, and agriculture dominance.
  3. Indiaโ€™s GDP (nominal) is about $4 trillion (2025 est.), 5th largest globally.
  4. Per capita income (2024โ€“25) โ‰ˆ โ‚น1.97 lakh.
  5. Indian economy shows dual structure โ€” modern industrial sector & traditional rural sector.
  6. Agriculture contributes ~18% of GDP but employs ~45% of population.
  7. Service sector contributes over 50% of GDP โ€” largest contributor.
  8. Industrial sector contributes ~30% of GDP.
  9. Indian economy is open โ€” liberalized foreign trade policy since 1991.
  10. Economic growth rate (2024โ€“25) โ‰ˆ 7%.

๐Ÿ“Š 2. National Income and Related Aggregates

  1. GDP = value of final goods and services produced within India in one year.
  2. GNP = GDP + Net Factor Income from Abroad (NFIA).
  3. NDP = GDP โ€“ Depreciation.
  4. NNP = GNP โ€“ Depreciation.
  5. Per Capita Income = NDP รท Population.
  6. Real GDP uses constant prices; Nominal GDP uses current prices.
  7. Base year of GDP: 2011โ€“12 (as per NSO).
  8. NSO (National Statistical Office) compiles GDP data.
  9. GDP Deflator = (Nominal GDP รท Real GDP) ร— 100.
  10. Gross Value Added (GVA) = Output โ€“ Intermediate consumption.
  11. Green GDP accounts for environmental degradation.
  12. Indiaโ€™s first national income estimate by Dadabhai Naoroji (1867โ€“68).
  13. Modern estimation by Prof. V.K.R.V. Rao (1931โ€“32).
  14. Economic Survey โ€” annual document summarizing economic performance.
  15. Economic Census โ€” counts all establishments producing goods/services.

๐Ÿ—๏ธ 3. Economic Planning and NITI Aayog

  1. Planning Commission formed in 1950 under Nehruโ€™s government.
  2. Replaced by NITI Aayog on 1 January 2015.
  3. NITI Aayog promotes cooperative and competitive federalism.
  4. NITI CEO (2025): B.V.R. Subrahmanyam.
  5. First Five-Year Plan (1951โ€“56) โ€” agriculture & irrigation.
  6. Second Plan (1956โ€“61) โ€” Mahalanobis model, heavy industry.
  7. Third Plan (1961โ€“66) โ€” self-reliance.
  8. Fifth Plan (1974โ€“79) โ€” โ€œGaribi Hatao.โ€
  9. Eighth Plan (1992โ€“97) โ€” first after 1991 reforms.
  10. Twelfth Plan (2012โ€“17) โ€” last plan.
  11. LPG Reforms (1991) โ€” Liberalization, Privatization, Globalization.
  12. Planning types: indicative, imperative, rolling, perspective.
  13. Gadgil Formula โ€” allocation of central assistance to states.
  14. NITI Aayog issues Three-year Action Agenda, not Plans now.
  15. State Planning Boards handle local development.

๐Ÿ’ฐ 4. Fiscal Policy and Public Finance

  1. Fiscal policy โ€” governmentโ€™s policy of expenditure and taxation.
  2. Union Budget โ€” under Article 112.
  3. Presented every year on 1 February.
  4. Revenue receipts โ€” tax + non-tax income.
  5. Capital receipts โ€” borrowings, disinvestment, loan recovery.
  6. Revenue expenditure โ€” recurring costs, no asset creation.
  7. Capital expenditure โ€” creates assets.
  8. Fiscal deficit = Total Expenditure โ€“ (Revenue + Non-debt receipts).
  9. Revenue deficit = Revenue Expenditure โ€“ Revenue Receipts.
  10. Primary deficit = Fiscal Deficit โ€“ Interest payments.
  11. FRBM Act (2003) ensures fiscal discipline (target โ‰ค 3% of GDP).
  12. Finance Commission (Art. 280) constituted every 5 years.
  13. 15th Finance Commission Chair โ€” N.K. Singh.
  14. Zero-Based Budgeting (ZBB) introduced in 1987โ€“88.
  15. Gender Budgeting introduced in 2005โ€“06.
  16. Outcome Budget links expenditure with results.
  17. Public debt = internal + external borrowings.
  18. Public expenditure divided into plan & non-plan (now capital & revenue).
  19. Cess & Surcharge โ€” not shared with states.
  20. Deficit financing โ€” printing of new currency by RBI.

๐Ÿฆ 5. Banking and Financial System

  1. RBI established in 1935, nationalized 1949.
  2. Functions: monetary authority, banker to govt., lender of last resort.
  3. RBI HQ: Mumbai.
  4. First Indian Governor: C.D. Deshmukh.
  5. Monetary Policy regulates money supply.
  6. MPC (Monetary Policy Committee) โ€” 6 members, inflation target = 4% ยฑ 2%.
  7. Repo rate โ€” RBI lends to banks; Reverse repo โ€” RBI borrows.
  8. CRR โ€” deposits kept with RBI.
  9. SLR โ€” deposits in liquid assets.
  10. Bank rate โ€” long-term lending rate.
  11. Open Market Operations (OMO) โ€” RBI buys/sells govt securities.
  12. MSF (Marginal Standing Facility) โ€” overnight borrowing.
  13. Scheduled Banks โ€” in Second Schedule of RBI Act.
  14. Nationalization of Banks: 14 in 1969, 6 in 1980.
  15. Regional Rural Banks (RRBs) โ€” started in 1975.
  16. NABARD (1982) โ€” apex body for rural credit.
  17. SIDBI (1990) โ€” small industries finance.
  18. EXIM Bank (1982) โ€” export promotion.
  19. NPCI (2008) โ€” UPI, RuPay, BHIM payment systems.
  20. Digital Banking โ€” UPI, e-RUPI, Bharat BillPay, etc.

๐ŸŒพ 6. Agriculture and Rural Development

  1. Agricultureโ€™s share in GDP: ~18%.
  2. Green Revolution (1965โ€“67) โ€” M.S. Swaminathan, focus on wheat & rice.
  3. White Revolution โ€” Operation Flood, milk.
  4. Blue Revolution โ€” fisheries.
  5. Golden Revolution โ€” horticulture & honey.
  6. Pink Revolution โ€” meat & poultry.
  7. MSP fixed by CACP.
  8. PM-KISAN โ€” โ‚น6,000/year to farmers.
  9. PM Fasal Bima Yojana (2016) โ€” crop insurance.
  10. RKVY (2007) โ€” state agri investments.
  11. E-NAM (2016) โ€” online agri market.
  12. Food Corporation of India (FCI) manages buffer stocks.
  13. National Food Security Act (2013) โ€” covers 67% population.
  14. Integrated Rural Development Programme (IRDP) โ€” 1978.
  15. Rural employment schemes: NREGS (2005), PMGSY, DDU-GKY.
  16. Kisan Credit Card โ€” launched 1998.
  17. Operation Greens (2018) โ€” stabilizing onion, tomato, potato prices.
  18. Doubling farmersโ€™ income target โ€” Ashok Dalwai Committee.
  19. Cooperative banks finance rural needs.
  20. Agri export policy (2018) โ€” boost farm exports.

๐Ÿ’น 7. Industrial Policy and Infrastructure

  1. Industrial Policy 1956 โ€” basic framework for industries.
  2. New Industrial Policy 1991 โ€” ended license raj.
  3. Disinvestment โ€” partial privatization of PSUs.
  4. Privatization โ€” transfer of ownership.
  5. PSUs classified as Maharatna, Navratna, Miniratna.
  6. MSME sector โ€” backbone of Indian industry.
  7. SIDBI provides financial support to MSMEs.
  8. Industrial Corridors: DMIC, CBIC, AMIC, BMEC, ECEC.
  9. Make in India (2014) โ€” boost manufacturing.
  10. Startup India (2016) โ€” innovation & self-employment.
  11. Atmanirbhar Bharat (2020) โ€” self-reliance in production.
  12. Insolvency & Bankruptcy Code (2016) โ€” speedy debt recovery.
  13. National Infrastructure Pipeline (2019) โ€” โ‚น111 lakh crore investment.
  14. PM Gati Shakti (2021) โ€” digital infra planning.
  15. Digital India (2015) โ€” e-governance & IT growth.
  16. Smart Cities Mission (2015) โ€” urban improvement.
  17. AMRUT (2015) โ€” urban rejuvenation.
  18. UDAY (2015) โ€” DISCOMs financial reform.
  19. Power sector โ€” NTPC, NHPC, PGCIL major PSUs.
  20. Transport infra โ€” Bharatmala (roads), Sagarmala (ports).

๐ŸŒ 8. External Sector and Trade

  1. BoP (Balance of Payments) = Current + Capital Account.
  2. Current Account includes goods, services, transfers.
  3. Capital Account โ€” FDI, FPI, loans.
  4. Trade Deficit โ€” imports > exports.
  5. CAD (Current Account Deficit) โ€” indicator of imbalance.
  6. Forex reserves managed by RBI (~$640 billion).
  7. Exchange rate system โ€” managed float.
  8. Devaluation โ€” deliberate reduction of currency value.
  9. FDI โ€” long-term foreign investment.
  10. FPI โ€” short-term portfolio investment.
  11. EXIM Bank โ€” promotes exports.
  12. SEZ Act 2005 โ€” special export zones.
  13. WTO (1995) โ€” regulates global trade.
  14. Indiaโ€™s top export โ€” petroleum products.
  15. Largest trading partner โ€” USA.
  16. Trade policy framed by Ministry of Commerce.
  17. Tariff โ€” tax on imports; Quota โ€” limit on imports.
  18. BoT (Balance of Trade) โ€” goods only; BoP โ€” goods + services.
  19. Foreign aid classified as concessional and non-concessional.
  20. EXIM Policy updated every 5 years.

๐Ÿ‘จโ€๐Ÿ‘ฉโ€๐Ÿ‘งโ€๐Ÿ‘ฆ 9. Poverty, Employment, and Welfare

  1. Tendulkar Committee (2009) โ€” new poverty line.
  2. Rangarajan Committee (2014) โ€” revised line upward.
  3. Poverty line based on monthly consumption.
  4. MGNREGA (2005) โ€” 100 days guaranteed rural employment.
  5. PM Awas Yojana (2015) โ€” affordable housing.
  6. Ujjwala Yojana (2016) โ€” LPG to poor women.
  7. Ayushman Bharat (2018) โ€” โ‚น5 lakh health cover.
  8. Skill India (2015) โ€” youth employment.
  9. PM Svanidhi (2020) โ€” street vendor loans.
  10. PM Jan Dhan Yojana (2014) โ€” financial inclusion.
  11. SHG-Bank Linkage Programme โ€” started 1992 by NABARD.
  12. Unemployment Types: structural, frictional, cyclical, disguised.
  13. PLFS โ€” official employment data.
  14. Human Development Index (HDI) โ€” UNDP measure.
  15. Indiaโ€™s HDI Rank (2024) โ€” around 134.
  16. Gini coefficient measures inequality.
  17. Social sector spending includes education, health, housing.
  18. Inclusive growth โ€” growth + social justice.
  19. Welfare state โ€” Directive Principles (Article 38).
  20. National Social Assistance Programme (NSAP) โ€” pension for poor.

โš™๏ธ 10. Miscellaneous Economic Concepts and Institutions

  1. SEBI (1992) โ€” regulates capital market.
  2. IRDAI (1999) โ€” regulates insurance.
  3. PFRDA (2013) โ€” manages pension funds.
  4. CCI (Competition Commission, 2009) โ€” checks monopolies.
  5. FSDC (2010) โ€” coordinates financial regulators.
  6. RBI Act, 1934 โ€” legal foundation of RBI.
  7. Banking Regulation Act, 1949 โ€” governs banks.
  8. Negotiable Instruments Act, 1881 โ€” cheques & promissory notes.
  9. Companies Act, 2013 โ€” regulates corporate governance.
  10. Consumer Protection Act, 2019 โ€” consumer rights.
  11. Census โ€” every 10 years (next: 2025).
  12. Economic Survey โ€” key pre-Budget document.
  13. Union Public Accounts Committee (PAC) โ€” examines audit reports.
  14. CAG (Art. 148) โ€” guardian of public purse.
  15. NABARD โ€” rural refinance apex body.
  16. IFCI (1948) โ€” oldest financial institution.
  17. IDBI โ€” formed 1964; development bank.
  18. EXIM Bank (1982) โ€” export promotion.
  19. India Infrastructure Finance Company Ltd (IIFCL) โ€” infra funding.
  20. DFI (Development Finance Institution) โ€” long-term funding agencies.

๐ŸŒฑ 11. Environment, Energy, and Sustainable Development

  1. Sustainable development โ€” meets present needs without harming future.
  2. Paris Agreement (2015) โ€” limit temperature rise to 1.5ยฐC.
  3. Indiaโ€™s Net Zero Target โ€” 2070.
  4. Renewable energy goal โ€” 500 GW by 2030.
  5. Solar Mission (2010) โ€” under National Action Plan on Climate Change.
  6. MNRE โ€” Ministry of New and Renewable Energy.
  7. NTPC โ€” Indiaโ€™s largest power producer.
  8. ONGC โ€” Indiaโ€™s top oil & gas PSU.
  9. Coal India Ltd โ€” largest coal producer.
  10. Hydropower potential โ€” about 150,000 MW in India.
  11. Biofuel Policy (2018) โ€” 20% ethanol blending target by 2030.
  12. Perform, Achieve, and Trade (PAT) โ€” industrial efficiency scheme.
  13. National Solar Mission โ€” promote solar energy use.
  14. Fertilizer subsidy โ€” major component of revenue spending.
  15. Environment (Protection) Act, 1986 โ€” umbrella legislation.
  16. Polluter Pays Principle โ€” environmental liability concept.
  17. CAMPA Fund โ€” compensatory afforestation.
  18. Green Credit Scheme โ€” incentivizing afforestation.
  19. Sustainable Development Goals (SDGs) โ€” 17 goals till 2030.
  20. Indiaโ€™s ranking in Climate Change Performance Index (2024) โ€” in top 10.

.


๐Ÿ“˜ Indian Economy โ€“ Final 100 Static Facts (201โ€“300)

(Directly asked or highly probable in upcoming exams 2025โ€“26)


๐Ÿ›๏ธ 12. Economic Growth & Development Indicators

  1. Human Development Index (HDI) measures health, education, income.
  2. Indiaโ€™s HDI rank (2024): around 134 out of 193.
  3. Gross National Happiness (GNH) concept originated in Bhutan.
  4. Gender Development Index (GDI) measures gender equality in HDI.
  5. Gender Inequality Index (GII) includes maternal mortality, education, participation.
  6. Multidimensional Poverty Index (MPI) โ€” developed by UNDP & Oxford.
  7. Gini Coefficient measures income inequality (0 = equality, 1 = inequality).
  8. Inclusive Growth = growth + equitable distribution.
  9. Human Capital Formation โ€” investment in education & health.
  10. Trickle-down theory โ€” benefits of growth automatically reach poor.

๐Ÿ’ธ 13. Money, Capital Market & Financial Inclusion

  1. Money Market deals in short-term funds (<1 year).
  2. Capital Market deals in long-term funds (>1 year).
  3. Call Money Market โ€” overnight inter-bank borrowing.
  4. Treasury Bills (T-Bills) โ€” short-term government securities (<1 year).
  5. Commercial Paper (CP) โ€” short-term debt issued by corporates.
  6. Certificates of Deposit (CD) โ€” negotiable bank instruments.
  7. Bond yield inversely related to bond price.
  8. Primary Market โ€” new issues; Secondary Market โ€” existing trading.
  9. Stock Exchange โ€” organized secondary market.
  10. SEBI (1992) โ€” regulates capital markets in India.

๐Ÿช™ 14. Inflation, Prices & Indices

  1. Inflation โ€” persistent rise in general price level.
  2. Deflation โ€” persistent fall in price level.
  3. WPI โ€” compiled by Office of Economic Adviser, Ministry of Commerce.
  4. CPI (Combined) โ€” official inflation measure (base year 2012).
  5. Headline inflation = overall inflation; Core inflation = excludes food & fuel.
  6. Stagflation โ€” inflation + stagnation.
  7. Demand-pull inflation โ€” too much money chasing few goods.
  8. Cost-push inflation โ€” rise in cost of inputs.
  9. Phillips Curve โ€” inverse relation between inflation & unemployment.
  10. Deflationary gap โ€” when aggregate demand < potential output.

๐Ÿงพ 15. Public Sector, Disinvestment & Privatization

  1. Disinvestment = selling part of govt. equity in PSUs.
  2. Privatization = transfer of ownership to private sector.
  3. PSU categories: Maharatna (โ‰ฅโ‚น5,000 cr net profit), Navratna, Miniratna.
  4. First disinvestment policy started in 1991-92.
  5. DIPAM โ€” Department of Investment & Public Asset Management.
  6. Air India privatized in 2021 (Tata Group acquired).
  7. LIC IPO launched in 2022.
  8. ONGC โ€” Indiaโ€™s biggest oil & gas PSU.
  9. NTPC โ€” Indiaโ€™s largest power PSU.
  10. BHEL โ€” leading engineering PSU.

๐Ÿ“ˆ 16. Trade, BoP & External Debt

  1. Indiaโ€™s foreign trade policy formulated every 5 years.
  2. EXIM Policy 2023-28 replaced the earlier 2015-20 policy.
  3. Top export items: petroleum products, gems, machinery, pharma.
  4. Top import items: crude oil, gold, electronics, machinery.
  5. BoP = Current Account + Capital Account + Errors & Omissions.
  6. Current Account Deficit (CAD) arises when imports > exports.
  7. Forex reserves include gold, SDRs, foreign currency assets.
  8. Foreign Exchange Management Act (FEMA) โ€” 1999.
  9. Rupee depreciation makes imports costlier, exports cheaper.
  10. Exchange Rate Regime โ€” managed floating system.

๐Ÿ’ผ 17. Employment & Labour Sector

  1. Labour force participation rate (LFPR) โ€” proportion of working population.
  2. Unemployment โ€” when willing & able people canโ€™t find work.
  3. Disguised unemployment common in agriculture.
  4. Seasonal unemployment โ€” in agriculture, tourism.
  5. Structural unemployment โ€” skill mismatch.
  6. Cyclical unemployment โ€” due to business cycles.
  7. Frictional unemployment โ€” temporary job change.
  8. PLFS โ€” official source of labour data.
  9. Gig economy โ€” short-term, freelance jobs.
  10. Code on Wages (2019) โ€” consolidates wage laws.

๐ŸŒฟ 18. Environment & Resource Economics

  1. Sustainable development โ€” use of resources without depletion.
  2. Club of Rome (1972) โ€” published โ€œLimits to Growth.โ€
  3. Rio Earth Summit (1992) โ€” Agenda 21.
  4. Kyoto Protocol (1997) โ€” legally binding emission reduction.
  5. Paris Agreement (2015) โ€” global climate deal.
  6. Indiaโ€™s Net Zero target โ€” 2070.
  7. Renewable energy target โ€” 500 GW by 2030.
  8. Forest cover in India (2023) โ€” ~21.7% of area.
  9. MNRE โ€” Ministry of New & Renewable Energy.
  10. Perform, Achieve, Trade (PAT) scheme โ€” energy efficiency.

โš–๏ธ 19. Key Economic Committees & Reports

  1. Narasimham Committee (1991 & 1998) โ€” banking reforms.
  2. Kelkar Committee (2002) โ€” fiscal consolidation.
  3. Tendulkar Committee (2009) โ€” poverty estimation.
  4. Rangarajan Committee (2014) โ€” updated poverty line.
  5. Nachiket Mor Committee (2013) โ€” financial inclusion.
  6. Vijay Kelkar Committee (2013) โ€” PPP reforms.
  7. BN Srikrishna Committee (2008) โ€” financial sector roadmap.
  8. Raj Chetty โ€” behavioural economics Nobel contributor.
  9. M.S. Swaminathan โ€” father of Green Revolution.
  10. Verghese Kurien โ€” father of White Revolution.

๐Ÿง  20. Economic Terms, Indices & Programs

  1. Base year of CPI (Combined) โ€” 2012.
  2. Wholesale Price Index (WPI) โ€” base year 2011-12.
  3. Index of Industrial Production (IIP) โ€” base year 2011-12.
  4. IIP compiled by โ€” NSO (Ministry of Statistics).
  5. Headline inflation โ€” overall CPI inflation.
  6. Core inflation โ€” excludes food & fuel.
  7. Banking Ombudsman โ€” RBIโ€™s customer grievance scheme (1995, updated 2021).
  8. Financial inclusion โ€” delivery of affordable banking services.
  9. Pradhan Mantri Jan Dhan Yojana (2014) โ€” universal bank accounts.
  10. RBI Integrated Ombudsman Scheme (2021) โ€” one portal for complaints.

๐Ÿ“œ 21. Government Schemes โ€“ Economic & Social

  1. Atal Pension Yojana (2015) โ€” pension for unorganised workers.
  2. Stand-Up India (2016) โ€” loans for SC/ST & women entrepreneurs.
  3. Mudra Yojana (2015) โ€” micro loans (Shishu, Kishor, Tarun).
  4. PM Svanidhi (2020) โ€” credit to street vendors.
  5. PMEGP โ€” self-employment via Khadi & Village Industries.
  6. Beti Bachao Beti Padhao (2015) โ€” girl child empowerment.
  7. Digital India (2015) โ€” IT-enabled governance.
  8. Skill India (2015) โ€” training & entrepreneurship.
  9. Startup India (2016) โ€” innovation ecosystem.
  10. PM Vishwakarma Yojana (2023) โ€” skill credit support for artisans.

โœ… โœ… Completed: 300 Static Facts (Full Professional Notes Series)

๐Ÿ“š Structure Recap

Category Facts Economy Basics to Sustainable Dev. 300 Total Conceptual + Institutional + Direct PYQs Covered Data Year Used 2023โ€“25 latest


Amaresh Yadav ๐Ÿ‡ฎ๐Ÿ‡ณ



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