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NITI Aayog Calls for Improved Quality of Data; Poor Quality of Data Caused Fiscal Loss of Rs 40,000 Crore

By Ankur Chandra | Published at: Jun 24, 2025 05:56 PM IST

NITI Aayog Calls for Improved Quality of Data; Poor Quality of Data Caused Fiscal Loss of Rs 40,000 Crore
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Mumbai, 24 June 2025: NITI Aayog has issued a pressing call for a complete shift in digital governance, from scale-focused platforms to precision-led systems. Launching the June 2025 edition of Future Front: Quarterly Frontier Tech Insights, titled “India’s Data Imperative: The Pivot Towards Quality”, the policy body highlights significant fiscal loss over ₹40,000 crore attributed to poor-quality data, and proposes a framework to anchor India’s next digital leap in accuracy and trust.

Data Quality Shift: From Background Task to National Agenda

India’s digital platforms have undoubtedly delivered scale, particularly in FY 2024–25:

Metric Figure
UPI Transactions (April ’25) ₹23.9 trillion across 17.89 billion transactions
Aadhaar Authentications 27.07 billion
Ayushman Bharat Coverage 369 million citizens

However, the report flags growing inefficiencies due to data inconsistencies, duplicates, and inaccuracies. Such errors, ranging from wrong IFSC codes to duplicate identities, have created costly delays in services like pensions and healthcare reimbursements, converting high-volume systems into governance risks.

Fiscal Fallout: Data Clean-Up Saves Over ₹40,000 Crore

The report reveals that targeted data cleansing has already yielded major cost savings across key schemes:

Cleanup Action Estimated Savings
1.71 crore ineligible PM-Kisan records ₹9,000 crore (FY24)
3.5 crore bogus LPG accounts ₹21,000 crore (2 years)
1.6 crore fake ration cards ₹10,000 crore annually

The message is clear: bad data costs real money, and real lives.

Precision Tools: Scorecards and Maturity Framework Introduced

Data Quality Scorecard

A real-time benchmarking system has been introduced, covering six core parameters Accuracy, Completeness, Timeliness, Consistency, Validity, and Uniqueness. Sample performance versus targets is shown below:

Attribute Target Sample Performance
Accuracy ≥98% 96.4%
Completeness ≥95% 89.7%
Consistency ≥90% 81.2%
Timeliness ≤3 days 6.1 days
Validity ≥99% 97.8%
Uniqueness ≤1% dupes 3.5%

Data Quality Maturity Framework

This assesses institutions across seven dimensions from governance structures to cultural adoption measuring their evolution through five maturity levels: Foundational, Developing, Advancing, Integrated, and Institutionalised.

Actionable Measures: Three Fast Fixes Suggested

The report outlines a tactical “Starter Kit” of implementable solutions, achievable within three months:

  1. Fix at the Source – Build validation, deduplication, and metadata standards into initial data capture stages.
  2. Maintain Cleanliness – Establish monthly audits, designate data stewards, and connect public grievances to correction processes.
  3. Embed Accountability – Deploy dashboards tracking key data quality KPIs, reward internal teams for maintaining integrity, and create national campaigns such as “Data Quality Week.”

Beyond Metrics: A Call for Structural Transformation

The report goes beyond numbers to stress that lasting change requires structural shifts. Recommendations include:

  • Appointing dedicated data stewards at national, state, and district levels.
  • Linking budget allocations and departmental performance to data accuracy.
  • Driving interoperability with standardised schemas and APIs.
  • Embedding data ownership within departmental roles, backed by incentives.

Leadership Perspectives: Trust Built on Data Integrity

In its foreword, the report states, “From scale to precision this is not an aspiration but a national imperative,” highlighting the necessity for validation, stewardship, and deep-rooted cultural change.

Debjani Ghosh, Chief Architect of the NITI Frontier Tech Hub, reinforces the message, noting, “Trust is not an outcome; it’s the foundation. Clean, consistent data is the bedrock of Digital India.”

About NITI Frontier Tech Hub

The NITI Frontier Tech Hub functions under NITI Aayog as a technology integration centre aimed at modernising public-sector delivery. Its Future Front report series presents evidence-based strategies and tools for digital transformation. The latest edition developed in collaboration with Gramener focuses on unifying India’s leadership in digital platforms with a renewed emphasis on data integrity, responsive policy design, and citizen trust.

Conclusion: Trust, Not Volume, Defines the Future of Digital India

The report makes it clear: India’s digital future will no longer be measured by how many platforms are created, but by how trustworthy those systems are. A shift from volume to veracity, and from speed to stewardship, is now central to the country’s governance journey.

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Please note that the information shared is intended solely for informational purposes and does not make any investment recommendations

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