Maharashtra’s economy to grow at 5.7%

Revenue deficit rises to ₹20,293 crore; State budget to be presented today

Maharashtra’s economy is expected to grow at 5.7% in 2019-20 compared to 5% the previous fiscal, according to the Economic Survey presented in the Assembly on Thursday. The State budget will be presented on Friday.

The 0.7% rise in the Gross State Domestic Product (GSDP) is attributed to the growth in agriculture and allied activities at 3.1% compared to (-)2.2% the previous fiscal. However, the growth in the industry sector has dipped to 3.3% compared to 5.5% in 2018-19. This can be attributed to a drop in the growth of the manufacturing sector from 6.0% to 2.7% in the current fiscal. The services sector is expected to register a slide in growth by 7.6% compared to 8.1% in 2018-19.

According to the advance estimates, nominal GSDP for 2019-20 is expected to be ₹28,78,583 crore and real GSDP ₹21,54,446 crore. The per capita State income in 2019-20 is expected to be ₹2,07,727. The revenue deficit has risen to ₹20,293 crore compared to the revised estimates of ₹14,960 crore for 2018-19. The fiscal deficit is ₹61,670 crore and the debt stock ₹4,71,642 crore, the report said. The percentage of fiscal deficit to GSDP is 2.1% and debt stock to GSDP is 16.4%. Both indicators are within the fiscal limits prescribed by the 14th Finance Commission.

In 2018-19, the production of food grains and fruits, and vegetables decreased by 27.3% and 10.1% respectively, whereas sugarcane, oilseeds and cotton increased by 8%, 16.1% and 8.2% respectively over the previous year.

The survey said the unemployment rate in January to March 2019 was 8.3% as compared to 9.6% in October to December 2018. A total of 37,567 offences were reported in the State in 2019, in which women were victims, as compared to 35,497 in 2018 and 31,997 in 2017, the report said. Foreign Direct Investment (FDI) inflows in 2019-20 was ₹25,316 crore, which is less compared to ₹80,013 crore in 2018-19 and ₹86,244 crore in 2017-18. Maharashtra was second in the country after Karnataka in terms of FDI in 2019-20.

The irrigation potential created as on June 30, 2019, by minor irrigation (local sector) projects was 18.96 lakh hectares and the potential utilised was 8.49 lakh hectares (44.8%) during 2018-19.

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Printable version | Jun 7, 2020 11:28:53 AM |

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