PATNA: Bihar’s economy grew at 11.3 per cent in 2017-18, up from 9.9 per cent a year before, making it the state with the highest growth rate in the country, said the economic survey report tabled in the state legislature on Monday.
Deputy chief minister Sushil Kumar Modi, who also holds the finance portfolio, said Bihar achieved the high growth rate of 11.3 per cent while the national economy grew at about 7 per cent between 2016 and 2018.
The state achieved significant development in all major areas of the economy in the past one year and set examples in fiscal management, he said after presenting the survey report for 2018-19 on the opening day of the budget session.
Bihar’s GSDP in 2017-18 was Rs 4,87,628 crore at current prices and Rs 3,61,504 crore at constant (2011-12) prices, said the report. The resulting per capita GSDP in the same period was Rs 42,242 at current prices and Rs 31,316 at constant prices.
“Bihar has been a revenue-surplus state for over a decade. This increase was more than double between 2013-14 and 2017-18, rising from Rs 6,441 crore to Rs 14,823 crore, its highest level so far,” said Modi, who will present the state budget in the legislature on Tuesday.
The state government’s primary deficit came down from Rs 8,289 crore in 2016-17 to Rs 5,251 crore in 2017-18. As a result, the gross fiscal deficit also came down from Rs 16,480 crore in 2016-17 to Rs 14,305 crore in 2017-18, which was 2.9 per cent of GSDP in 2017-18 and well within the FRBMA limit of 3 per cent.
Bihar’s own tax revenue went up to Rs 23,742 crore in 2017-18 from Rs 19,961 crore in 2013-14 and the non-tax revenue grew to Rs 3,507 crore from Rs 1,545 crore during the same period, said the survey report. The state’s share in central taxes increased from Rs 34,829 crore to Rs 65,083 crore and grants-in-aid went up to Rs 25,720 crore from Rs 12,584 crore during the same period.
Between 2013-14 and 2017-18, the state’s total revenue registered an increase of 70.4 per cent to reach 1,17,447 crore, up from Rs 68,919 crore. During this period, the developmental revenue expenditure increased by 80 per cent.
Governor Lalji Tandon addressed a joint session of both Houses of the state legislature and praised the Nitish Kumar-led NDA government for its multi-pronged focus on development. Chief Minister Nitish Kumar, his deputy Sushil Kumar Modi and Leader of opposition in the Legislative Council Rabri Devi were present during the joint sitting. Tejashwi Yadav, Leader of opposition in the Assembly, remained absent from the House on the first day of the 10-day Budget session due to a fever.