January 3, 2015
Economic growth: Bengal shows the way
When the new Government came to power in West Bengal in 2011, the fiscal condition of the State was in disarray. There was a huge debt burden of about Rs 2 lakh crores and the GSDP growth rate was way below national average.
However, in the last three years, there has been a remarkable improvement on the economic front. There has been a turn of fortune for Bengal’s economy under the leadership of Ms Mamata Banerjee.
West Bengal was able to raise its tax collection during a period of economic downturn and reduced profit margins for companies because of its e-governance efforts. By making every registered dealer who has to pay tax worth Rs 2 Lakh or more to make payments only electronically, government has succeeded in increasing compliance and there by plugging out possible channels of leakages.
The numbers say it all:
- The State revenue has gone up historically from around Rs 21,000 crore annually to around Rs 39,000 crore annually.
- In FY 2013-14, GSDP growth rate was 7.7% vs national average of GDP : 4.9%
- In FY 2013-14, growth in agriculture and allied sector was 5.28% vs national average of 4.6%
- In FY 2013-14, growth in industrial sector was 9.58% vs the national average of 0.7%
- In FY 2013-14, growth in service sector was 7.8% vs the national average of 6.9%
- Total investment proposal received in the last 1000 days is in the tune of Rs 1,20,000 crore and the work in progress in the tune of 78,000 crore. Interested companies include SAIL, Ultratech cements, Reliance cements, ESSAR and others.
- According to figures published by Department of Industrial Policy and Promotion (DIPP), in 2014, up to 31st October, the total investments implemented are in the tune of 3581 crore which is third highest in the nation.
- In the last three and half years, total investments implemented is in the tune of Rs 7310 crore in “Big Industry”; compared to last 4 years of Left rule it is almost 2.5 times.
- Creation of land banks, industrial clusters, clearance under 14Y has given a boost to Industrial growth.
- 14 new IT hubs have been sanctioned. 117 industrial units have been allotted in the government industrial park.
Come to Bengal… Ride the growth: http://bengalglobalsummit.com/