On the one hand, this initiative continues the long-running debate on alternative welfare measures beyond GDP-per-capita. On the other, the discussion on the relationship between growth and distribution is being revitalised. This article deals with the potentials and limitations of the concept of inclusive growth. Conventional inclusive growth concepts are less embedded within a growth context and not focused on political frameable institutions. The indicators focus on results or outcome rather than on growth drivers. In addition, outcome variables are mixed with supply-side indicators. Therefore, the conventional concepts should be further developed into an institution-oriented ‘inclusive growth accounting’ with a focus on the growth factors of labour, education and capital.