HYDERABAD: In what can be described as another commendable achievement, Telangana has topped the list of states and Union Territories (UTs) in the country in the growth of services sector.
According to the Economic Survey released by the Central government on Friday, during the five-year period from 2014-15 to 2018-19, the year-on-year growth of services sector in the State remained consistent at 11.5 per cent. Karnataka with 10.5 per cent occupies second place in the list.
However, Telangana’s services sector share in Gross State Value Added (GSVA) in 2018-19 was 64.7 per cent, which placed the State in the sixth place in that list. The services sector growth, according socio-economic outlook of Telangana, was 11.3 per cent and it improved slightly over the years. During the last five years, State’s economy performed well. By opening up several pathways for trickle down effect, the State government ensured that the benefits of growth and macroeconomic stability reach the bottom of the pyramid, especially in the services sector.
The average annual growth of the services sector was 11.3 per cent, followed by the secondary sector with an average growth of 6.1 per cent and primary sector with an average growth of 3.6 per cent, according to the TS’ socio-economic outlook 2019. In the last five years, the services sector emerged as the major growth inducing sector in the State.
The share of services in Gross State Domestic Product (GSDP) increased significantly from 57 per cent in 2013-14 to 65 per cent in 2018-19. Growth in services has largely been fuelled by IT and business services. The State holds a leading position in IT & ITeS in the country in terms of production and exports.