According to the Odisha Economic Survey, which was tabled in the Assembly on Tuesday, the state’s economy rebounded sharply in 2021-22, with Gross State Domestic Product (GSDP) growing at a rate of 10.1 percent.
“It is one of the country’s fastest-growing states, with a growth rate substantially higher than India’s Gross Domestic Product growth rate of 8.8% as per the first advance estimate,” it claims.
Odisha was hit hard by COVID-19, with its GSDP shrinking by 5.3 percent in 2020-21, compared to a 6.6 percent reduction in India’s GDP, according to the report, but the state showed significantly greater resilience and restored to pre-pandemic levels far sooner.
“While India’s real GDP increased by 1.6 percent from 2019-20 to 2021-22, excluding the COVID year of 2020-21, Odisha’s real GDP increased by 4.2 percent.” It continues, “Not only is Odisha’s rehabilitation process speedier, but it is also more broad-based.”
According to the survey, if there is a regular monsoon, no further destructive waves of coronavirus mutations and resulting economic disruption, stable oil prices, and a steady easing of the supply chain, the GSDP might expand by 9-9.5 percent in 2022-23.
The Economic Survey, on the other hand, voiced alarm about the Russia-Ukraine conflict, claiming that it could add to the uncertainty.
It also claims that Odisha’s per capita income grew at a double-digit pace of 16.8% in 2021-22, painting a rosy picture of the state’s financial health.
“Over the last ten years (2012-13 to 2021-22), Odisha’s per capita income has grown at a pace of 10.3 percent, compared to India’s 9.15 percent growth rate. According to the report, Odisha’s per capita income increased from 48,499 in 2011-12 to 1,27,383 in 2021-22.
Odisha’s per capita income is still lower than India
Odisha’s per capita income is still lower than India’s, but the rate at which it is increasing suggests that it may soon surpass the national level. In 2011-12, Odisha’s per capita income was 76 percent of India’s per capita income. (It now stands at 84.7 percent in 2021-22, according to the study.)
According to the research, just nine states, including Odisha, improved their per capita income ranking between 2011-12 and 2019-20, while ten states remained unchanged and another ten states declined in per capita income ranking.
Industry (14.5 percent) and the service sector have accounted for the majority of the increase in per capita income (7.9 percent ). According to the survey, drought, unseasonal rain, and cyclones caused a 3.4 percent contraction in the agriculture and allied industry in 2021-22. The rate of inflation was expected to be 5.3 percent.