Nagender Singh
Shimla, March 16
Himachal Pradesh’s economy is projected to grow by 6.4 percent in the current financial year of 2022-23, showing a shrinking of 1.2 percent in the state GDP as compared to the last year when it had expanded by 7.6 percent, the yearly state Economic Survey revealed on Thursday.
The survey, tabled by the Chief Minister Thakur Sukhwinder Singh who also holds the portfolio of Finance Minister, gives a detailed state of the state’s economy and its sector wise contribution in the growth story of the state economy during this fiscal.
“The State’s Real Gross Domestic Product (GDP) or GDP at Constant Prices (2011-12) in Financial Year 2022-23 is estimated to attain a level of 1,34,576 crore, as against the provisional estimate of GDP for Financial Year 2021-22 of 1,26,433 crore.
Nominal GDP or GDP at Current Prices in Financial Year 2022-23 is estimated to attain a level of 1,95,404 crore, as against the provisional estimate of GDP for Financial Year 2021-22 of 1,76,269 crore showing an absolute increase of ₹19,135 crore. The growth in Nominal GDP during Financial Year 2022-23 is estimated at 10.9 per cent as compared to 13.5 per cent in Financial Year 2021-22,” said the Chief Minister in the Himachal Pradesh Assembly today.
According to advance estimates, the Per Capita Income at current prices for Financial Year 2022-23 is estimated at 2.22,227 against 2,01,271 in 2021-22 showing a growth rate of 10.4 per cent as against 13.1 per cent in 2021-22(FR), the survey conveyed. It is higher than the national level by Rs 51,264.
The state’s economy is highly dependent on hydroelectric power, horticulture and tourism.
The growth of 7.6 per cent is mainly attributed to 4.6 per cent increase in primary sector, 7.8 per cent increase in secondary sector, 15.6 per cent increase in transport, communication, trade hotel and restaurants sector and 7.9 percent increase in community and personal services sector of the economy.
Finance and real estate sector saw a marginal growth of one per cent only. Food grain production, which was 15.21 lakh metric tons (MT) during 2020-21 increased to 16.92 lakh MT in 2021-22 and is anticipated to be 15.94 lakh MT in 2022-23.
The fruit production increased to 7.54 lakh MT in 2021-22 as against 6.24 lakh MT in 2020-21, showing an increase of 20.83 per cent in 2021-22. The fruit production during 2022-23, up to December 2022, is expected to be 7.93 lakh MT.
The total expenditure of the state government was estimated to be Rs 51,365 crore out of which Rs 40,279 crore (78.42 per cent) was earmarked for revenue expenditure followed by capital expenditure as 10.99 per cent and debt as 10.59 per cent for 2022-23.
The debt as percentage to GSDP was 39.29 per cent in 2020-21 as against 35.25 per cent in 2019-20.
The economy has shown a shift from agriculture sector to industries and services as the percentage contribution of agriculture in total Gross State Domestic Product has declined from 57.9 per cent in 1950-51 to 55.5 per cent in 1967-68, 26.5 per cent in 1990-91 and 9.50 per cent in 2021-22.
The growing of off-season vegetables has also picked up in the state.
As per the economy report, 18.04 lakh tonnes of vegetables were produced in 2021-22 against 18.67 lakh tonnes in 2020-21. The production of vegetables will be about 17.59 lakh tonnes in 2022-23.
Himachal Pradesh has the highest potential of generating 23,500 MW hydel power which is one fourth of the entire country. The state was already generating 10,580 MW by taming its rivers.
With Covid epidemic impact on the tourism economy of the state on the retreat, its contribution in the economy is on the rise with 150.99 lakh tourists reaching Himachal Pradesh till Dec. 2022.
In his press interaction after presenting the Economic Survey, the Chief Minister Thakur held the BJP government responsible for shrinking of the state economy saying that the previous government misused the government funds paying no attention to improve the economic health of the state.
Tomorrow on the 17th March, 2023, the Himachal Pradesh Chief Minister Thakur Sukhwinder Singh will present his first yearly budget expectedly designed to fulfill the promises made by the Congress Party during the recently concluded assembly poll.
