Recently, the United Nations Development Programme (UNDP) published the Human Development Report (HDR) for 2025

Human Development Index (HDI)

– The HDI was established in 1990 by Pakistani economist Mahbub ul Haq and was subsequently utilized by the UNDP to compile a report on the socio-economic progress of nations.

– It assesses three fundamental dimensions and is computed using the geometric mean of these three indices:

1. Health is gauged by life expectancy at birth (SDG-3).

2. Education is evaluated through the average years of schooling for adults (SDG-4.4) and the anticipated years of schooling for children (SDG-4.3).

3. Standard of Living is assessed using the Gross National Income (GNI) per capita (SDG-8.5), adjusted for income distribution.

Human Development Index (HDI)

– The Human Development Index (HDI): It classifies countries into four levels of development based on their HDI scores.

1. Low Human Development: HDI score below 0.550

2. Medium Human Development: HDI score ranging from 0.550 to 0.699

3. High Human Development: HDI score ranging from 0.700 to 0.799

4. Very High Human Development: HDI score of 0.800 or higher

Limitations and Complementary Indices

– Although HDI is a useful metric, it fails to account for inequality, poverty, human security, or empowerment. To fill these gaps, UNDP offers additional measures, including:

1. Inequality-adjusted HDI (IHDI)

2. Gender Inequality Index (GII)

3. Multidimensional Poverty Index (MPI)

Human Development Index: Present Situation

Iceland, with an HDI score of 0.972, is ranked first on the Index, followed by Norway and Switzerland.

South Sudan ranks last at 193 with a score of 0.388.

India's HDI value increased from 0.676 in 2022 (ranked 133rd) to 0.685 in 2023 (ranked 130th), maintaining its position in the medium human development category. Since 1990, India’s HDI value has risen by over 53%, outpacing both the global and South Asian averages. Among its neighbors, China (75th), Sri Lanka (78th), and Bhutan (127th) rank higher than India, while Bangladesh (130th) is on the same level. Nepal (145th), Myanmar (149th), and Pakistan (168th) rank lower than India.

Key Highlights of India’s HDI Development:

Enhanced Life Expectancy: Life expectancy in India has increased from 58.6 years in 1990 to 72 years in 2023, reaching its highest level since the index was initiated. National health initiatives such as Ayushman Bharat, Janani Suraksha Yojana, and Poshan Abhiyaan have played a significant role in this improvement.

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Progress in Education: The average number of years spent in school has risen from 8.2 years in 1990 to 13 years in 2023.

Initiatives like the Right to Education Act, Samagra Shiksha Abhiyan, and the National Education Policy of 2020 have been instrumental in this development.

Economic Growth and Poverty Alleviation: India’s Gross National Income (GNI) per capita has increased more than fourfold, moving from $2,167 in 1990 to $9,046 in 2023.

Between 2015-16 and 2019-21, 135 million people in India lifted themselves out of multidimensional poverty.

Identified Challenges & Recommendations in the Report:

AI and Human Development: HDR 2025 maintains that AI should improve human abilities rather than supplant them.

The report advocates for bold policy measures to ensure that the advantages of AI-driven growth are accessible to all communities.

Growing Inequalities: Global disparities are on the rise, hindering progress in human development despite advancements in technology.

Global disparities are on the rise, hindering progress in human development, even with advancements in technology. In India, income inequality leads to a 30.7% reduction in Human Development Index (HDI), marking one of the highest impacts in the region. Ongoing gender inequalities continue to influence access to education, job opportunities, and healthcare services. The report emphasizes the need for inclusive AI policies to narrow the divide between developed and developing countries.

Three Key Areas for Action:

• Creating an economy that fosters collaboration between humans and AI.
• Encouraging innovation to enhance human potential.
• Investing in inclusive systems for education, healthcare, and social protection.