Coronavirus-hit Maharashtra economy to contract by 8% in FY21: Survey

File photo for representation.   | Photo Credit: MURALI KUMAR K

The Corona pandemic and subsequent lockdown has taken a heavy toll on the state’s economy. Maharashtra’s economy is expected to grow at (-)8% in 2020-21 compared to 5.0% of the previous fiscal, according to the Economic Survey presented in the Assembly on Friday. The Indian economy is also expected to grow by (-)8.0 per cent during the same period. The State budget will be presented on Monday. 

During 2020-21, the ‘Agriculture & allied activities’, ‘Industry’ and ‘Services’ sectors are expected to grow by 11.7%, (-)11.3% and (-)9.0% respectively. The ‘Manufacturing’ and ‘Construction’ sectors were hit hardest and are expected to grow at (-)11.8% and (-)14.6% respectively, due to which ‘Industry’ sector’s growth is expected to be (-)11.%. Due to the hard impact of pandemic situation mainly on Trade, Repairs, Hotels & Restaurants and Transport sectors, ‘Services’ sector is expected to grow at (-)9.0%. To revive the worst hit Hospitality sector during COVID-19 pandemic, the State has decided to classify it as an industry  

As per the advance estimates, nominal Gross State Domestic Product (GSDP) for 2020-21 is expected to be ₹26,61,629 crore and real GSDP is expected to be ₹19,62,539 crore. Per Capita State Income during 2020-21 is expected to witness a fall at ₹1,88,784 compared to ₹2,02,130 as per first revised estimates for 2019-20.  

The debt stock of the State comprises of accumulated unpaid loans and other liabilities on the State. The debt stock of the State is expected to be ₹5,20,717 crore as per 2020-21 (BE), which is 19.6% of GSDP. The revenue deficit is likely to be ₹9,511 crore compared to the revised estimates of ₹31,443 crore for 2019-20. The fiscal deficit is ₹54,618 crore, the report said.  

Since inception of ‘Mahatma Jyotirao Phule Shetkari Karjamukti Yojana 2019’ benefit of ₹19,847 crore has been given to 31.04 lakh beneficiary farmers upto January, 2021. Installed capacity of generating electricity as on March 31,2020 and electricity generated during 2019-20 in the State was highest in the country. State ranks fourth in terms of installed capacity of renewable energy and ranks second in consumption of major petroleum products during 2019-20. 

The survey said the unemployment rate in January to March 2020 was 5.6% as compared to 5.2% in October to December 2019. A total of 26,586 offences were reported in the State be October 2020, in which women were victims, as compared to 35,501 in 2018 and 37,112 in 2019, the report said. During 2020-21 upto September the total FDI inflows in the State was Rs 27,143 crore.

The State stands at number three after Gujarat and Karnataka in terms of FDI during the same period. During Magnetic Maharashtra 2.0 in June, 2020, the State has attracted investment proposals of ₹1.13 lakh crore with expected employment over 2.50 lakh. There were 7,603 Startups in the State at the end of December, 2020 .

Irrigation potential created as on June 30, 2020, by minor irrigation (local sector) projects was 19.26 lakh ha and potential utilised was 8.63 lakh ha (44.8%) during 2019-20.  

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Printable version | Apr 10, 2021 9:04:00 PM |

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