Bihar maintains top GDP growth rate of 14.8 percent

Bihar Financial results for 2010-11 is out. A major achievement of Bihar during this time is GDP growth rate of 14.8 percent. Deputy CM and Finance Minister Sushil Modi said the revenue surplus of state increased from Rs 2,498 crore in 2006-07 to Rs 6,272 crore in 2011-12. The capital outlay increased steadily from Rs 5,211 crore to Rs 11,448 crore during this period while development expenditure on social and economic services increased from Rs 17,000 crore to about Rs 43,000 crore.

There has been tremendous inflow of capital in the state during this period. Modi said between 2004-05 and 2010-11, the sectors reporting a growth rate of more than 15% were manufacturing (23.30%), construction (19.61%), communications (27.23%) and trade, hotels and restaurants (20.22%).

The report also highlighted steady upward trend in per capita development expenditure (PCDE) during 2001-02 to 2010-11. From Rs 930 in 2001-02, the PCDE went up to Rs 3,467 in 2010-11, implying an annual growth rate of 17%. During the period, the country’s PCDE grew at an annual rate of 13.6%. “The share of social sector spending in the total budget of Bihar increased from 18.9% in 2001-02 to 31.9% in 2010-11,” Modi said.

“There are, in all, 36 large-scale units in Bihar besides six such units under the central sector. A total of 1.89 lakh medium, small and micro units were set up in the state till December 2011, an increase of around 60% over the year 2000. The highest increase of about 62% was noticeable in tiny and micro sector followed by 58% in artisan-based units. The State Investment Promotion Board has approved 603 proposals till date involving an investment of over Rs 2.48 lakh crore and employment to 1.85 lakh persons,” the report said.

On the power front, however, the situation remains critical. Bihar has the lowest annual per capita consumption of electricity at 122.11 kWh against the national average of 778.71 kWh. Up to January last, a total of 17,363 villages and 19.67 lakh BPL families were connected to the grid under the Rajiv Gandhi Rural Electrification Scheme, the report said.

(With Inputs from Various local Newspapers)