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Worst period of Punjab economy gone: Manpreet

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BS Reporter New Delhi/ Jalandhar
Last Updated : Jan 21 2013 | 2:33 AM IST

Claiming that the worst period of Punjab’s economy was gone, Punjab Finance Minister Manpreet Badal today said in spite of the global slowdown the state had registered a significant growth in the Gross State Domestic Product (GSDP).

“As our economy is largely dependent on domestic market and the agriculture sector, it (the recession) did not have much adverse impact on it and it has registered a significant growth during the last three years,” Badal told newsmen.

The state got six consecutive bumper crops and the prices of agriculture produce had also witnessed a steep hike, Badal said revealing that in the 11th 5-year Plan economic growth of the state was expected at 5.9 per cent but it attained the growth of 6.6 per cent.

As compared with the national agriculture growth of 1 per cent, the state had witnessed growth of 4 per cent, he added.

“Key factor for the growth rate of the state economy was that agriculture sector has contributed 30 per cent to the state’s economy whereas it was 19 per cent at the national level,” he said adding, “however, in the treasury area, the state’s performance was not up to the mark.”

He revealed that for growth in industrial and services sectors, Information & Technology Parks spread over 1,200 acre was being planned in Rajpura, apart from a 225-acre IT park in Kapurthala district.

As far as poverty rate was concerned, in case of Punjab it was 8 per cent only, whereas at national level it was 28 per cent and in case of some of the states, it was more than 50 per cent, Badal claimed.

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Revealing the proceeding of the Planning Commission to discuss plan outlay, the finance minister said the state had mobilised revenue of Rs 9,050 crore and would get Rs 1,950 crore from the Centre, which amounted to Rs 11,000 crore.

On a query as to whether the state government would get the royalty for agriculture sector from the Centre, Badal said, “A strong lobby at the Centre wants that agriculture produce should not be taxed but we are not agreed on this.”

From April 1, 2011 when the country switched over from the regime of VAT to GST, the state would get a monthly compensation of Rs 1,200 crore, he added.

Asked whether the state government was having ample fund to clear the dues of those employees, who would get retirement in the current year, the FM said that the budgetary provision of Rs 800 crore was already kept under the head, whereas the funds required for the purpose would not be more than Rs 700 crore.

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First Published: Apr 09 2010 | 12:39 AM IST

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