world-economy

India Launches Producer Price Index to Broaden Inflation Tracking

India will introduce a Producer Price Index for the first time, expanding its inflation measurement framework to align with advanced economies. The Ministry of Commerce and Industry will unveil the new metric Tuesday, creating a comprehensive view of price pressures across goods and services sectors. The PPI complements the existing Wholesale Price Index, which has long tracked producer-level inflation in goods alone. The expanded index captures pricing data from service providers, a critical addition given that services account for approximately 55 percent of India's gross domestic product. The move provides policymakers with a broader toolkit for monitoring inflationary trends across the world's fastest-growing major economy.