MoSPI sets up working group to prepare statistical business register

The ministry of statistics and program implementation (MoSPI) has constituted a working group to prepare a statistical business register (SBR), encompassing all enterprises — both formal and informal — across the country, official sources told Business Standard. This exercise, according to them, will help capture the number of active and closed establishments.

 

“The register will ensure that any information required about businesses and enterprises in the country is available at one place and is updated at regular intervals. It will serve as a comprehensive database of enterprises operating at the district, state, and national levels. It will be the backbone for developing an integrated official business statistics system,” the sources said.

 

The SBR will also help gauge sectoral performance and assist in gross domestic product (GDP) calculations. It will also help assess industrial performance, assist in market analysis, help identify demand centres and investment opportunities as well as monitor employment and growth trends.

 

The proposed business register will be prepared using data from the economic census (EC), state specific databases and central databases. These include the ministry of corporate affairs (MCA) data, employee provident fund organisation (EPFO), goods and services tax network (GSTN) and the Udyam portal, among others.

 

The SBR will be artificial intelligence (AI)-enabled so as to assist users in easy navigation and will be dynamic in nature.

 

“At present, business data is fragmented across several departments. While the economic census, conducted every five years, aims to capture this information, the eighth census is yet to commence. We will not just collect information at the state level but go down to the district level. The plan is to create a dynamic register, meaning it will be updated once in six months or so,” the sources said.

 

Although the SBR was initially supposed to be established during the sixth EC, its creation was delayed as some states failed to prepare it.

 

Thereafter, it was envisaged as a follow-up activity of the 7th EC. But it couldn't be prepared as the results for the EC itself got delayed due to quality concerns.

 

Now, as MoSPI prepares for the 8th EC and plans to complete it by 2025, the SBR is expected to be launched after that.

 

Pronab Sen, former chief statistician, said that the SBR will act as a master sample for business enterprises in the country. It will be used to draw samples for other surveys like annual survey of industries (ASI) and annual survey on unincorporated enterprises (ASUSE), among others.

 

“Since SBR will be dynamic in nature, this will increase the representativeness of the samples and the surveys being conducted thereafter,” he added.

 

The SBR will also be used to conduct web or email-based business sentiment and outlook surveys in the economy.

 

Currently, business sentiment and outlook are gauged through the Purchasing Managers’ Index (PMI), which surveys manufacturing and services firms every month on their outlook for the year ahead.  

SBR aim 

• To have info on all enterprises — formal/ informal or active/closed
• To use data from economic census, state and central database like EPFO, MCA
• Will be AI-enabled to assist users with easy navigation