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India Gini Index Score of 25.5 and Hidden Inequalities

30 July 20251 min read
REPORTS & INDEXESIndia Gini IndexScore of 25.5 andHiddenInequalities30 July 2025safalsetu.com

Why in the news

India’s Gini score of 25.5 suggested low income inequality, but analysts argued it hides several deeper divides.

Key facts

  • Gini Index: measures income inequality from 0 (equality) to 100 (inequality); lower means more equal.
  • India’s score: 25.5, a moderately low inequality category.
  • Why misleading: it depends on limited formal tax and income data and leaves out the large informal economy.
AreaFigure
WealthTop 1% held 22.6% of income in 2022-23 (“Income and Wealth Inequality in India, 1922-2023”)
Women in workforce35.9%; 12.7% at middle and senior management
Women-run startups7.5%
Schools with working computers / internet52.7% / 53.9%
Household broadband41.8%
Rural internet access25% of women vs 49% of men

Linked inequalities

  • Digital gaps deepen educational inequality when schooling goes virtual.
  • Gender gaps online limit women’s access to finance, jobs and information.

Exam angle

  • Score: 25.5; range 0-100; India has the world’s 3rd largest startup ecosystem.

Test yourself

1. What was India's Gini Index score cited in the report?

India scored 25.5 on the Gini Index.

2. What share of national income did the top 1% hold in 2022-23, per the study cited?

The top 1% held 22.6% of national income.

3. What percentage of startups in India are run by women according to the notes?

Only 7.5% of startups are run by women.