India is ranked 130 among 193 countries in the United Nations Development Programme’s (UNDP) 2025 Human Development Index (HDI)

Key Highlights of HDR 2025

• Theme for 2025: The 2025 Human Development Report is  titled “A Matter of Choice: People and Possibilities in the Age of AI” identifies AI as a pivotal factor in the next phase of human development, particularly in rapidly developing nations like India.

• Global Trend in HDI: Globally, the UNDP warned that human development progress had slowed to its weakest pace since 1990.
• Increasing Inequality:The gap between Very High and Low HDI countries has widened for four consecutive years, reversing decades of narrowing disparities. 
  • All regions face stalled HDI growth projections for 2024.

Key Highlights on India’s Position

• India’s Performance: India’s HDI value increased from 0.676 in 2022 to 0.685 in 2023, placing it in the ‘medium human development’ category and nearing the threshold for ‘high human development’ (HDI ≥ 0.700).
• Progress in Health: India’s life expectancy reached an all-time high of 72 years in 2023, up from 58.6 years in 1990, reflecting effective public health interventions and post-pandemic recovery.
• Educational attainment:It has also improved significantly, with children now expected to stay in school for 13 years on average, compared to just 8.2 years in 1990.
• Growth of AI: India now leads globally in AI skills penetration and has improved talent retention, with 20% of Indian AI researchers now working domestically, up from almost none in 2019.
• Gap: Inequality, particularly in income and gender, continued to hold back India’s human development potential
• The HDR 2025 flags India’s low female labor force participation and underrepresentation in politics.
  • However, the recent constitutional amendments for women’s legislative reservation show promise.
• Weakest aspect: India’s GNI per capita rank is seven positions below its HDI rank, indicating income remains a relative weakness compared to health and education.

About Human Development Index (HDI)

• The HDI was introduced by the United Nations Development Programme (UNDP) in 1990, with economists Mahbub ul Haq and Amartya Sen playing key roles in its conceptualization.

• It is a composite index designed to measure and rank countries based on levels of human development rather than purely economic metrics.
• The purpose of HDI is to offer a broader perspective on human well-being and capabilities, focusing on people’s ability to lead long, healthy, and meaningful lives.

Parameters Used in HDI

• Life Expectancy at Birth: This reflects the ability to lead a long and healthy life.
  • India’s life expectancy has increased significantly, reaching 72 years in 2023.
• Education Index: This includes mean years of schooling and expected years of schooling.
  • India’s progress in education has been driven by initiatives like the Right to Education Act, Samagra Shiksha Abhiyan, and NEP 2020.
• Gross National Income (GNI) per Capita: This measures the standard of living.
  • India’s GNI per capita rose from $2,167 in 1990 to $9,046 in 2023.

Limitations of HDI

• Not Equitable: The HDI does not capture income inequality within countries, nor does it reflect gender disparities or environmental sustainability.
  • In India’s case, the HDI value drops by 30.7% when adjusted for inequality, among the highest in the region,indicating that disparities remain a serious concern
• Missing Parameters: It simplifies human development into a single composite score, which may overlook crucial qualitative aspects like governance, freedom, and cultural diversity.