Bihar witnesses impressive growth in three sectors

PATNA: The economic survey for 2008-09 tabled by deputy CM Sushil Kumar Modi in the Bihar assembly on Tuesday has shown impressive growth rates
in three sectors in the state - construction (21.53%), communications (16.01%) and trade, hotels and restaurants (12.03%).

However, agriculture has grown at just 1.38%, which is much lower than the desired four percent growth. Modi attributed it to two successive severe floods. The Net State Domestic Product (NSDP) growth rate is estimated to be 5.57%. "Although the NSDP growth is lower than the national average growth rate of six to seven per cent, it is still higher than what it was in the past when the state economy
grew at barely three to four per cent," claimed Modi.

Strangely, the survey speaks of the "improved law and order situation" in the state. "I know law and order is not generally mentioned in an economic survey but it is an important indicator for commercial activities in Bihar," Modi asserted.

The survey emphasises that Bihar stands 28th in the crime chart of the nation and there has been a sharp decline in murders, dacoities, robberies, kidnappings and crimes against scheduled castes in the state. It also highlights initiatives taken by the state government against corruption.

The economic indicators suggest that the use of chemical fertilisers by farmers has increased by over 62%. "It shows eagerness of farmers in Bihar to utilise this valuable input," the survey says.

On the industrial front, the survey points out that out of the 164 approved proposals, 15 proposals have already been implemented with one of them ready for production. As many as 49 proposals with a total investment of about Rs 23,000 crore are in an advanced stage of implementation. It also talks of growth in the tourism sector in Bihar.

The survey referes to major achievements in social sectors -- education and health. It says the enrolment in primary schools during the last four years increased by over 28% and in case of scheduled caste children by over 35%. It also talks of increased commercial activities of five regional rural banks (RRBs) in Bihar and says while scheduled commercial banks during 2007-08 gave credit to the tune of Rs 17,202 crore, the RRBs chipped in with Rs 3,678 crore.

It says that by increasing revenue and rationalising expenditure, the state has generated a surplus of Rs 4,647 crore. "The impact of increased salaries to government employees will be felt during the next financial year," Modi said.

Source : Times of India