Kerala, Punjab top in prosperity, equality - The New Indian Express

Kerala, Punjab top in prosperity, equality

Published: 12th November 2013 07:42 AM

Last Updated: 12th November 2013 02:51 PM

Punjab and Kerala top in prosperity and equality among Indian states, while Maharashtra leads the pack in terms of per capita income, says a study by Crisil.

Punjab, which tops the prosperity list, is at the second place in the chart of equality that is topped by Kerala.

"Madhya Pradesh is the least prosperous state," says the study.

Crisil has developed the prosperity and equity indices on the basis of ownership of consumer durables in a state, using the 2011 Census data. It does not account for inter-state differences in ownership of financial or other assets such as land.

On prosperity index, Haryana, Karnataka and Tamil Nadu figure in the top five positions. On equality, Chhattisgah, Bihar and Jharkhand share top slots after Kerala and Punjab.

Courtesy: November 2013 CRISIL Insight report

Gujarat, whose development model is much debated, is placed at sixth position in prosperity index, while on equality the state is on seventh slot.

This widespread ownership makes Punjab the most prosperous state, the report said, adding that Punjab and Kerala also have the least disparity in asset ownership between their capital cities and the rest of the state.

"Madhya Pradesh is the least prosperous state. Moreover, there is large disparity in living standards among households in Bhopal, as well as between Bhopal and the rest of the state. For example, 15 per cent of households in the capital have all assets, which is comparable to Mumbai. However, over 12 epr cenr of households in Bhopal have no durables assets compared with a 2.2 per cent in Mumbai.

Chhattisgarh, Bihar also figure at the bottom of the prosperity index, says the study.

Maharashtra has the highest level of real income per person (per-person state gross domestic product at 2004-05 prices) among the major states. But the penetration of household ownership of durable assets in the state is lower than six others, it added.

Punjab has the highest proportion of households with all durables, including a computer (10 in every 100) and the lowest proportion of households with no durable asset, not even a mobile or a bicycle (just over 4 per cent), indicating its overall prosperity.

At the second slot is Kerala with its handsome remittances along with healthy farm and tourism sectors. It is followed by Haryana, Karnataka, Tamil Nadu and Gujarat, showing higher growth has brought in prosperity to these states in terms of ownership of cars and two-wheelers, mobiles and computers.

Courtesy: November 2013 CRISIL Insight report

Gujarat is ranked at third in terms of high prosperity and high equality among the high-growth states which is topped by Kerala and Punjab, the study said.

Madhya Pradesh and Odhisa figure worst in low prosperity and low equality.

Haryana, Karnataka, Maharashtra and Tamil Nadu are among the high prosperity states, but they score poor on equality index.

Jharkhand, Uttar Pradesh, Bihar and Chhattisgarh fare better in equality index but lag in prosperity index.

Gurgaon is the most prosperous city, with one in five households in the NCR region owning an asset. While Chennai tops the list among state capitals, it is followed by Hyderabad and Bangalore whereas Patna and Raipur are at the bottom.

Click here for the complete report.

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