Arun Jaitley hails CM Raghubar Das, says Jharkhand has potential to beat national average in growth

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Ranchi | Published: February 17, 2017 6:13:00 AM

Hailing the Raghubar Das government’s initiatives to gain investors’ attention in Jharkhand and its economic development programme, finance minister Arun Jaitley on Thursday said the state’s annual GSDP growth could exceed the national GDP growth rate by 4-5 percentage points.

jaitley-lThe state has always been able to catch the fancy of investors with the first-ever steel ingot of the country being produced in Jamshedpur exactly 105 years ago on this day.

Hailing the Raghubar Das government’s initiatives to gain investors’ attention in Jharkhand and its economic development programme, finance minister Arun Jaitley on Thursday said the state’s annual GSDP growth could exceed the national GDP growth rate by 4-5 percentage points.

Inaugurating the mineral-rich state’s maiden global investors’ show here, Jaitley said: “Jharkhand has a potential today with its natural resources, and potential for investment to grow at least 4-5% ahead of the national average. Today, it is marginally 1% above national average.” Jharkhand’s gross state domestic product growth rate (at a constant price) was 12.1% and the growth rate of per capital income was 11.10% in 2015-16, when the national real GDP expansion was 7.6%.

The state has always been able to catch the fancy of investors with the first-ever steel ingot of the country being produced in Jamshedpur exactly 105 years ago on this day. But the journey to industrialisation has been mostly uneven with a large section of its population remaining in poverty and its full potential never exploited.

Jaitley attributed this to two possible reasons — flawed economic policies of the government at that time and the second, the political model that economic development was not necessary for winning elections which can be done through social engineering. “Initially, there was political instability, and if I can be more candid, there was a stigma of corruption and therefore in today’s world where investor is the chooser, and investor has several multiple options, he does not like to invest or fish in troubled territories,” Jaitley said.

“Finally, we have now seen the maturing of Jharkhand both from the point of view of governance and also from the point of view of policy,” the FM said.

Jharkhand is often described as a state with rich mineral deposits but with poor people. Union road transport and highways minister Nitin Gadkari also sees people here becoming rich if the state’s natural resources are exploited to substitute the country’s imports of annual natural resources worth $ 800 billion.

Power minister Piyush Goyal, who was also present, said as an investment destination, Jharkhand has huge potential because of the availability of low-cost power and low-cost land.

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