Bihar ahead of Odisha in economic growth

January 3, 2010 at 8:00 pm Leave a comment

Following is a report from The Pioneer:

Even though Odisha boasts of the fact that it has been able to attract huge investments to the tune of Rs 5 lakh crore to the State in various fields including that of steel and mines, it is still lagging behind in economic growth than that of Bihar, once considered a poor and unruly State. But Bihar has changed its destiny and has been able to march ahead on the economic front in comparison to other States including that of BJD ruled Odisha.

In the last five year period between 2004-05 and 2008-09, while the growth rate of the Bihar was 11.03 per cent, the inclusive growth rate of Odisa was 8.74 per cent.

If one compares Odisha to that of Bihar, Odisha is more rich in minerals than Bihar which was worst affected by the floods in the Koshi which wrecked havoc in the State. The flood was also declared as a national calamity. Even though it is ruled by a non- Congress Chief Minister Nitish Kumar, it has been managed to raise its voice before Delhi and get necessary relief. Due to the effective utilisation of funds, the State has been able to march ahead in economic growth.

After huge investment assured to the State, it was predicted that Odisha would surpass all the States and come as number one but nothing has happened. Work at Posco’s steel project in Paradip, Tata’s project at Kalinga Nagar and Mittal’s project in Konjhar has yet to kick off. But officials pointed out that there was no need for any alarm. “Odisha’s economic growth is above the national average of 7 per cent growth,” said a senior official.

Meanwhile, the recent Planning Commission report has also stated that Odisha was the number one poor State in the country with as much as 57 per cent of the people living below the poverty line. In the last four months, around 40 farmers have committed suicide.


Entry filed under: Poverty and hunger, Poverty and Hunger in Koshal region, State Watch-Monitoring the Odisha State.

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