United Nations Development Programme (UNDP) released the 2025 Human Development Report (HDR) titled “A Matter of Choice: People and Possibilities in the Age of AI”, ranking India at 130th out of 193 countries. While India has shown steady improvement in HDI value, inequality remains a key barrier to overall human development.
About Human Development Report (HDR)
| Parameter | Details |
| Published by | United Nations Development Programme (UNDP) |
| First published | 1990 (by Mahbub ul Haq & Amartya Sen) |
| Index used | Human Development Index (HDI) |
| HDI Components | 1. Health (Life expectancy at birth) 2. Education (Mean & expected years of schooling) 3. Standard of Living (Gross National Income per capita, PPP-adjusted) |
Global Highlights: HDR 2025
- Theme: “A Matter of Choice: People and Possibilities in the Age of AI”
- Top HDI Rankers:
- 1st – Iceland (0.972)
- 2nd – Norway
- 3rd – Switzerland
- Lowest Rank: South Sudan – 193rd (HDI: 0.388)
- Global Trends:
- Stalled progress on HDI globally, slowest since 1990 (excluding 2020–21 pandemic years)
- Increasing inequality between very high and low HDI nations
- AI Impact: 1 in 5 people globally already using AI tools; concerns over job replacement vs opportunities
India’s HDI Performance (HDR 2025)
| Indicator | Value |
| Rank | 130th out of 193 |
| HDI Value (2023) | 0.685 (↑ from 0.676 in 2022) |
| HDI Category | Medium Human Development |
| Life Expectancy | 72 years (↑ from 67.7 in 2022) |
| Expected Years of Schooling | 13 years (↑ from 12.6) |
| Mean Years of Schooling | 6.9 years (↑ from 6.57) |
| GNI per capita (PPP) | $9,047 (↑ from $6,951 in 2022) |
| HDI Growth since 1990 | +53% (faster than global & South Asian avg.) |
India vs Neighbours
| Country | Rank |
|---|---|
| China | 75 |
| Sri Lanka | 78 |
| Bhutan | 127 |
| Bangladesh | 130 (same as India) |
| Nepal | 145 |
| Myanmar | 149 |
| Pakistan | 168 |
India’s Performance in AI: 2025 HDR Insights
- AI Skills Penetration: India ranks highest globally in self-reported AI skills.
- Global AI Index Rank: 4th out of 36 countries- only lower-middle-income country in top 10.
- Talent Retention: 20% of Indian AI researchers stayed in India in 2023 (↑ from near zero in 2019).
- Perception: 60% believe AI will create jobs; 51% fear job loss due to AI.
Challenges Affecting India’s HDI
- Inequality Loss: HDI reduced by 30.7% due to inequality — among the highest in the region.
- Gender Disparities:
- Female labour force participation: 41.7%
- Political participation: Low, but improving
- 106th Constitutional Amendment: One-third reservation for women in legislatures seen as a positive reform.