India is gearing up to conduct a comprehensive Household Income Survey (HIS) in February 2026, marking a significant step towards understanding the economic landscape of its households. This ambitious project is being spearheaded by the Ministry of Statistics and Programme Implementation (MoSPI) and guided by a Technical Expert Group (TEG) under the leadership of Dr. Surjit S. Bhalla.
The primary objective of the HIS is to estimate the average income of both rural and urban households across the nation. This data will be crucial in assessing the economic well-being of different segments of the population and understanding income disparities. The survey also aims to study the impact of technology on wages, an increasingly important factor in today's rapidly evolving economy.
The need for a reliable household income survey has been long-felt in India. Despite having a well-established National Sample Survey (NSS) for over seven decades, a comprehensive income survey has remained elusive. Previous attempts to conduct such surveys between 1955 and 1984 were unsuccessful due to concerns about data reliability. The upcoming HIS represents a renewed and concerted effort to address this critical data gap.
The data collected from the HIS will serve multiple purposes. It will provide a clearer picture of poverty, inequality, and income disparity across rural and urban areas. This information is vital for formulating effective economic and social welfare policies, especially for vulnerable populations such as the elderly, low-income households, and single-parent families. The survey data will also be used to monitor the impact of various government programs and interventions aimed at improving household incomes and living standards. Furthermore, the HIS data will contribute to the development of social indicators, such as Sustainable Development Goals (SDGs) indicators and human development indicators, which are essential for tracking progress towards national and international development goals.
The TEG, responsible for overseeing the HIS, will play a crucial role in ensuring the survey's success. Its primary task is to finalize the survey's design and methodology, paying close attention to data reliability issues that have plagued previous attempts. The group will leverage its expertise to develop robust data collection methods and quality control measures to ensure the accuracy and representativeness of the survey results.
In addition to estimating average household incomes, the HIS will also provide valuable insights into household expenditure patterns. This information will be useful in updating the basket of goods and services used for calculating the Consumer Price Index (CPI), a key measure of inflation. The survey data will also contribute to national accounts related to final consumption and income of the household sector.
The HIS is expected to add a crucial layer to India's macroeconomic indicators, providing a more comprehensive understanding of the country's economic performance. It will complement other recent initiatives by the NSS, such as new annual surveys on unincorporated enterprises, services, capital expenditure, and domestic tourism, which aim to fill key data gaps in the Indian economy. By providing reliable data on household incomes, the HIS will empower policymakers, researchers, and other stakeholders to make informed decisions and develop effective strategies for promoting inclusive and sustainable economic growth in India.
