RBI Grade B 2025 – ESI Answer Outline | Human Development Index (HDI): India’s Performance & Way Forward

Answer Outline – Human Development Index (HDI): Examine India’s performance and areas for improvement.

1. Introduction

  • Define HDI: Composite index by UNDP measuring average achievement in health, education, and standard of living.
  • Importance for evaluating socio-economic development.

2. India’s HDI Ranking

  • India ranked 132 out of 191 countries in the 2021-22 Human Development Report.
  • HDI value: 0.633 (medium human development category).
  • Decline from previous years due to COVID-19 impact on health and income.

3. Breakdown of Components

  • Life Expectancy at Birth: Around 67.2 years (still lower than global average).
  • Expected Years of Schooling: ~12.2 years; Mean Years: ~6.7 years.
  • GNI per capita (PPP): ~$6,590.

4. Government Schemes Contributing to HDI

  • Ayushman Bharat, Poshan Abhiyan (Health).
  • Samagra Shiksha, NEP 2020, Digital Education Initiatives (Education).
  • PM Jan Dhan Yojana, DBT, MGNREGA (Standard of Living).

5. Areas for Improvement

  • Regional disparities in education and health outcomes.
  • Gender inequality in workforce participation and education.
  • High out-of-pocket health expenditure.
  • Low public expenditure on health (~2% of GDP) and education (~3% of GDP).
  • Urban-rural divide in human development indicators.

6. Way Forward

  • Increase public spending on health and education.
  • Improve quality of schooling and vocational training.
  • Strengthen social safety nets for vulnerable populations.
  • Promote gender-inclusive economic participation.

7. Conclusion

  • India’s HDI ranking reflects moderate progress but highlights the need for targeted human capital investment.
  • To move into the “high human development” category, sustained and inclusive policy efforts are essential.