UP scripts post-Covid economic growth trajectory

UP has emerged as the second-largest state in the country in terms of the number of income tax return (ITR) filers.

UP recorded the highest decline in number of poor people in the country.

LUCKNOW: Despite economic recession across the world for about three years and under the impact of the pandemic, Uttar Pradesh’s economy has been able to maintain its growth trajectory, claimed a state government report on Saturday. 

The strength of a robust economy is reflected in its annual income which has gone up in UP with the GSDP (Gross State Domestic Product) rising by about 20 percent to Rs 19,74,532 crore in 2021-22 as compared to Rs 16,45,317 crore in the financial year 2020-21.

As per the state government sources, in the financial year 2022-23, the state’s income has been pegged at Rs 21.91 lakh crore on the basis of advance estimates. Moreover, UP has emerged as the second-largest state in the country in terms of the number of income tax return (ITR) filers.

The number of ITRs filed has shot up from 1.65 lahks in June 2014 to 11.92 lakh in June 2023.As per the official release, the August 2023 bulletin of the Reserve Bank of India (RBI) shows Uttar Pradesh on top of the states with a share of 16.2 percent investment in terms of attracting funds from banks and other financial institutions.

The RBI report states that UP has registered a 16.2 percent increase in raising funds from banks and other financial institutions in 2022-23, a 15-fold increase from 1.1 percent in the financial year 2013-14.

According to NITI Aayog’s report, National Multidimensional Poverty Index: A Progress Review 2023,  between 2015-16 and 2019-21, while a record 135 million people in India have moved out of multidimensional poverty, Uttar Pradesh has recorded the highest decline in the number of poor people in the country.

The report says the state government’s efforts have led 3.43 crore people coming out of multidimensional poverty in Uttar Pradesh.

Providing multidimensional poverty estimates for 36 states, union territories, and 707 administrative districts, the report said the most extensive decline in the proportion of multidimensional poor was recorded in Uttar Pradesh.

Once falling in the category of 'Bimaru' states, UP is now a revenue surplus state. In the year 2016-17, the tax revenue of the state was about Rs  86 thousand crore which went up to over Rs 01.47 lakh crore in the year 2021-22, registering an increase of 71 percent. The sales tax/VAT in the year 2016-17 was around Rs 51,883 crore which has crossed Rs 125 crore in the year 2022-23.