South Asia - Households and NPISHs final consumption expenditure (% of GDP)

Households and NPISHs final consumption expenditure (% of GDP) in South Asia was 61.95 as of 2020. Its highest value over the past 60 years was 86.79 in 1960, while its lowest value was 58.53 in 2010.

Definition: Household final consumption expenditure (formerly private consumption) is the market value of all goods and services, including durable products (such as cars, washing machines, and home computers), purchased by households. It excludes purchases of dwellings but includes imputed rent for owner-occupied dwellings. It also includes payments and fees to governments to obtain permits and licenses. Here, household consumption expenditure includes the expenditures of nonprofit institutions serving households, even when reported separately by the country. This item also includes any statistical discrepancy in the use of resources relative to the supply of resources.

Source: World Bank national accounts data, and OECD National Accounts data files.

See also:

Year Value
1960 86.79
1961 85.97
1962 84.00
1963 82.18
1964 82.57
1965 82.34
1966 81.19
1967 82.90
1968 79.35
1969 78.01
1970 77.58
1971 78.95
1972 81.00
1973 79.86
1974 80.11
1975 72.98
1976 76.02
1977 78.15
1978 77.58
1979 76.85
1980 79.13
1981 77.22
1982 76.51
1983 76.75
1984 76.45
1985 74.74
1986 74.21
1987 72.53
1988 71.46
1989 69.71
1990 68.92
1991 68.85
1992 68.07
1993 68.35
1994 67.45
1995 66.73
1996 67.25
1997 66.85
1998 66.31
1999 66.73
2000 66.64
2001 66.91
2002 65.89
2003 64.54
2004 61.94
2005 61.42
2006 60.18
2007 59.46
2008 61.22
2009 59.83
2010 58.53
2011 60.27
2012 60.45
2013 61.40
2014 61.74
2015 62.56
2016 62.67
2017 62.09
2018 62.95
2019 63.43
2020 61.95

Limitations and Exceptions: Because policymakers have tended to focus on fostering the growth of output, and because data on production are easier to collect than data on spending, many countries generate their primary estimate of GDP using the production approach. Moreover, many countries do not estimate all the components of national expenditures but instead derive some of the main aggregates indirectly using GDP (based on the production approach) as the control total. Household final consumption expenditure is often estimated as a residual, by subtracting all other known expenditures from GDP. The resulting aggregate may incorporate fairly large discrepancies. When household consumption is calculated separately, many of the estimates are based on household surveys, which tend to be one-year studies with limited coverage. Thus the estimates quickly become outdated and must be supplemented by estimates using price- and quantity-based statistical procedures. Complicating the issue, in many developing countries the distinction between cash outlays for personal business and those for household use may be blurred. Informal economic activities pose a particular measurement problem, especially in developing countries, where much economic activity is unrecorded. A complete picture of the economy requires estimating household outputs produced for home use, sales in informal markets, barter exchanges, and illicit or deliberately unreported activities. The consistency and completeness of such estimates depend on the skill and methods of the compiling statisticians.

Statistical Concept and Methodology: Gross domestic product (GDP) from the expenditure side is made up of household final consumption expenditure, general government final consumption expenditure, gross capital formation (private and public investment in fixed assets, changes in inventories, and net acquisitions of valuables), and net exports (exports minus imports) of goods and services. Such expenditures are recorded in purchaser prices and include net taxes on products.

Aggregation method: Weighted average

Periodicity: Annual

Classification

Topic: Economic Policy & Debt Indicators

Sub-Topic: National accounts