India’s human development progress continues amid global challenges: UNDP’s 2025 Human Development Report highlights the role of AI in shaping future possibilities

India’s HDI value increases from 0.676 in 2022 to 0.685 in 2023, placing the country in the medium human development category.

India’s life expectancy is the highest since the inception of the index, signaling a strong recovery from the pandemic and its impact on life expectancy. 

New Delhi, 6 May 2025 — India continues its steady rise on the Human Development Index (HDI), ranking 130 out of 193 countries in the 2025 Human Development Report (HDR) released today by the United Nations Development Programme. With an HDI value increasing from 0.676 in 2022 to 0.685 in 2023, India remains in the medium human development category, moving closer to the threshold for high human development (HDI ≥ 0.700).

The 2025 HDR, titled “A Matter of Choice: People and Possibilities in the Age of AI”, highlights the critical role of artificial intelligence in shaping the next chapter of human development—particularly in fast-growing economies like India.

“We congratulate India on its notable progress in the Human Development Index, rising from rank 133 in 2022 to 130 in 2023. This advancement reflects sustained improvements in key dimensions of human development, particularly in mean years of schooling and national income per capita. India’s life expectancy reaching its highest level since the inception of the index is a testament to the country’s robust recovery from the pandemic and its investments and commitment to long-term human well-being. With a renewed focus on women-led development, quality education and healthcare for all, India is well positioned to achieve inclusive growth and continued progress on human development,” said Angela Lusigi, Resident Representative, UNDP India.

India’s Development: Progress with Purpose

India’s HDI value has increased by over 53% since 1990, growing faster than both the global and South Asian averages. This progress has been fueled by economic growth and targeted social protection and welfare programmes.

Life expectancy rose from 58.6 years in 1990 to 72 years in 2023, the highest recorded since the index began. National health programmes by successive governments such as the National Rural Health Mission, Ayushman Bharat, Janani Suraksha Yojana, and Poshan Abhiyaan have contributed significantly to this achievement.

Children today are expected to stay in school for 13 years on average, up from 8.2 years in 1990. Initiatives like the Right to Education Act, Samagra Shiksha Abhiyan, the National Education Policy 2020 have enhanced outcomes. However, quality and learning outcomes remain areas for continued focus.

On the economic front, India’s Gross National Income per capita rose over four times, from $2167.22 (1990) to $9046.76 (2023) based on 2021 PPP $. Over the years, India’s progress on economic growth and investments in programmes like MGNREGA, Jan Dhan Yojana, and digital inclusion have contributed to poverty reduction. Importantly, 135 million Indians escaped multidimensional poverty between 2015-16 and 2019-21.

However, challenges persist. Inequality reduces India’s HDI by 30.7%, one of the highest losses in the region. While health and education inequality have improved, income and gender disparities remain significant. Female labour force participation and political representation lag, though recent steps—such as the constitutional amendment reserving one-third of legislative seats for women—offer promise for transformative change.

Changes in HDI value and indicators between 2022-2023

India at the Forefront of AI for Human Development

The report places India in a unique position globally as a rising AI powerhouse with the highest self-reported AI skills penetration and growing domestic retention of talent—20% of Indian AI researchers now remain in the country, up from nearly zero in 2019.

India is leveraging AI to deliver inclusive growth. From agriculture to healthcare to public service delivery, AI is being developed and deployed to solve complex challenges at scale. Examples include:
•    AI helping farmers access insurance, credit, and advisories in regional languages;
•    Plans for a national compute facility to democratize AI access for researchers and startups;
•    AI-powered inclusive skill development in states like Tamil Nadu and Telangana, supported by UNDP.

A new global UNDP survey shows that 70% of people expect AI to boost productivity, and 64% believe it will create new jobs—with optimism highest among youth.

Global slowdown in human development

The report underscores a broader global slowdown in human development. The 2025 HDR reveals that the current pace of progress is the slowest since 1990 – and India is no exception. Had pre-2020 trends continued, the world would be on track to reach very high human development by 2030, aligning with Sustainable Development Goal timelines. Now, that milestone risks being delayed by decades.

Inequality between low and very high HDI countries has increased for a fourth consecutive year, reversing long-standing progress.

Human Choices Will Shape the AI Era

The report stresses that AI’s impact is not inevitable—it is a matter of choice. Without deliberate policy and inclusive governance, AI risks deepening existing inequalities. But with the right investments and safeguards, it can become a force for opportunity, equity, and innovation.

UNDP outlines three key pathways for governments:
1.    Collaborate with AI to augment, not replace, human work;
2.   Centre human needs in AI design and deployment—especially in health, education, and agriculture;
3.   Promote innovation, embedding human values in AI from the outset.

Access HDR 2025: https://www.undp.org/india/publications/human-development-report-2025

NOTE: The UNDP Human Development Report Office updates the entire time series data with every new Human Development Report because of revisions and updates in the underlying data and adjustments to goalposts. To make year-on-year comparison, refer to this updated data: https://hdr.undp.org/data-center/documentation-and-downloads

For more information, please contact:
Amrah Ashraf, amrah.ashraf@undp.org, Head of Communications and Partnerships, UNDP India