Recently the Ministry of Statistics & Programme Implementation (MoSPI) will conduct India's first dedicated Household Income Survey in 2026.
First All-India income distribution survey – It will be the first dedicated nationwide survey focused specifically on household income distribution and welfare.
Aim – To get an accurate picture of household income levels and patterns and covers both urban and rural households.
Guided by Technical Expert Group (TEG) – A Technical Expert Group (TEG) has been set up under Surjit Bhalla, former IMF Executive Director, to guide the process.
It will finalise concepts, definitions, sampling design, methodology, etc.
Focus on data-driven policy making – The data will aid in welfare policy formulation and targeted interventions.
It helps assess income inequality and socio-economic disparities.
Assessment of technology impact – Survey will explore how adoption of technology affects household income (e.g., digital platforms, remote work, gig economy).
Incorporating global best practices – Methodologies will be aligned with successful surveys from countries like Australia, the USA, Canada, and South Africa.
Comprehensive Coverage of Income Components– It will gather information from all sources such as wages, self-employment income, agricultural income, remittances, pensions, etc.
Learning from past attempts – Earlier efforts in the 1950s, 1960s, and 1983-84 faced challenges in reliable data collection.
The current approach is designed to overcome these limitations.
Emphasis on reliable and robust estimate– The current estimates focus on ensuring income estimates are consistent with consumption and savings data.
The use of advanced statistical tools for estimation and error minimisation.
Adoption of advanced survey tools and modern sampling design.
Oversight to ensure reliability, transparency, and global alignment.
Significance of the Survey
Reliable data on income distribution– It provides the first authentic, large-scale dataset on household income levels, distribution patterns, and disparities across India.
Fills data gaps – India lacks comprehensive, reliable income distribution data for households.
Supports policy making – It will aid in evidence-based, data-driven policy decisions on welfare, taxation, and inequality.
It helps to assess the impact of technology adoption on household incomes (wages).
Helps assess economic inequality– It offers an accurate picture of income inequality and the gap between rich and poor, aiding in framing policies for inclusive growth.
It facilitates India’s progress monitoring towards international commitments like the Sustainable Development Goals (SDGs).
Strengthens economic planning – It aids in understanding consumption, savings, and investment patterns linked to income levels.
