Industry OdishabBureau, Jul 2: Since the Indian urban areas are being claimed to be reportedly contributing nearly 70% of the country’s economic output, the Ministry of Housing and Urban Affairs (MoHUA) is reportedly coming up for the first time in the country with a standardized methodology known as ‘City Economic Product (CEP)’ in order to estimate the economic output of the Indian cities.
Reportedly, the MoHUA “has constituted an inter-ministerial committee chaired by a member of the NITI Aayog to develop the CEP methodology essentially to estimate the gross domestic product (GDP) of the cities so that planning and investment could be aided accordingly, while the National Institute of Urban Affairs (NIUA) is serving as the inter-ministerial committee’s secretariat.”
As per reports, the aims and objectives of the CEP would be to “measure the economic contribution of cities, support evidence-based planning, improve investment prioritization, guide fiscal planning and resource allocation, identify sectoral strengths and productivity patterns, and highlight growth opportunities and infrastructure needs”.
Reports also said that, “Efforts are on to compile employment, labour and economic output data meant for building city-level economic datasets.”
Notably, “India has 496 cities with populations above 1,00,000, (one lakh) while 53 cities have populations above 1 million (10,00,000/10 lakhs).”
According to the Economic Survey of fiscal year 2025-26 (FY26), “Urban India contributes nearly 70% of India’s total economic output, India’s GDP growth is estimated at 7.7% in FY26 versus 7.1% in FY25.”
