The state’s growth performance was described as “better” than the national average in the 16th Bihar Economic Survey Report (ESR)-2021-22. The agriculture and allied sectors grew at a rate of 2.1 percent in the state over the last five years (2016-17 to 2020-21), according to the report. On Friday, before the Budget, Deputy Chief Minister Tarkishore Prasad, who also holds the Finance portfolio, tabled the 16th state ESR on the floor of the Legislative Assembly.
The economic survey was presented in Bihar Legislative Assembly
“Because of the influence of COVID-19’s shutdown, Bihar’s Gross State Domestic Product (GSDP) rose by 2.5 percent in 2020-21. However, this result outperforms the national average, as India’s economy contracted by 7.2 percent in 2020-21. When comparing the economies of Bihar and India over the medium period (2011-12 to 2020-21), it is clear that they are growing at almost the same pace “, according to the analysis.
According to the ESR, Bihar’s per capita income in 2020-21 was Rs 50,555, compared to Rs 86,659 for India. The primary sector in Bihar grew at a pace of 2.3 percent over the last five years (2016-17 to 2020-21), the secondary sector at 4.8 percent, and the tertiary sector at 8.5 percent, according to the report.
All economic activities that directly employ natural resources, such as mining, forestry, and fishing, are classified as primary. Manufacturing and processing are used in the secondary sector to add value to natural resources, such as cotton processed into textiles.
The tertiary sector, such as transportation and other services, aids in the development of the primary and secondary sectors. According to the ESR, the year 2020-21 was a challenging year for state finances due to the COVID-19 pandemic.
“The state government responded to the issues by making the most efficient use of its financial resources possible. The state government’s overall expenditure in 2020-21 climbed by 13.4% over the previous year to Rs 1,65,696 crore, with capital expenditure of Rs 26,203 crore and revenue expenditure of Rs 1,39,493 crore “, according to the report.
Agriculture plays a critical role in Bihar’s economy.
“Bihar’s agriculture and allied sectors have been steadily growing. In 2019-20, the Gross Cropped Area was 79.97 lakh hectares, with a cropping intensity of 144%. Agriculture and related industries grew at a rate of 2.1 percent over the last five years. Livestock and fisheries have expanded at a rate of 10% and 7%, respectively, among the sub-sectors “According to the research, Bihar’s industrial development has been promising in recent years.
Bihar’s urbanization rate was merely 11.3 percent according to the 2011 census
“However, since the state administration decided to redefine an urban center, Bihar’s urbanization rate has increased to 15.3 percent, indicating a significant expansion. The state’s per capita energy consumption has also climbed, from 203 kwh in 2014-15 to 350 kwh in 2020-21, representing a 72.4 percent increase in six years “, it declared.