May 21, 2019
The growth has been led by the state’s rising capabilities in next-gen technology, engineering and scientific research, among others
While agriculture and allied activities grew by 10.9 per cent, manufacturing and services sectors grew by 14.9% and 15.5%, respectively
Telangana has attracted big names from the technology, automobile, pharmaceuticals, retail, and engineering industries to set up bases
The state is promoting 14 sectors for priority investments, including life sciences, IT, engineering, renewable energy, FMCG, among others
Telangana, the youngest of India’s 29 states, recorded a 15 per cent jump in gross state domestic product (GSDP) during the financial year 2018-19. The state’s GSDP, or the annual revenue, increased to around US$124.9 billion in the fiscal year ending March 2019, from around US$107.7 billion a year earlier. This marked the state’s steepest GSDP growth since the birth of the state in 2014. The growth has been led by the state’s rising capabilities in next-gen technology, engineering, and scientific research, among others. This helped Telangana’s GSDP to grow by 14.2 per cent over the past two fiscals, 2017-18 and 2016-17.
The young state has notched up a few firsts over the past years with pioneering schemes – such as ‘Rythu Bandhu’, a welfare programme for farmers, and ‘Kakatiya’ project, a programme to revive water bodies – strengthening the economy. Telangana has also attracted big names from the technology, automobile, pharmaceuticals, retail, and engineering industries to set up bases. In the last four years, Telangana has approved nearly 6,800 projects which promise over 500,000 jobs. The state is promoting 14 sectors for high-priority investment, including life sciences, IT, engineering, renewable energy, FMCG, among others.
While agriculture and allied activities grew by 10.9 per cent, manufacturing and services sectors grew by 14.9 per cent and 15.5 per cent, respectively. The State Government said that capital expenditure in the state rose to around US$6.8 billion during the year, which aided the revenue growth. Meanwhile, debt to GSDP ratio has been reported at 22 per cent, lower than the permissible limit of 25 per cent as per the Fiscal Responsibility and Budget Management (FRBM) Act. The State Government said that tax revenue rose by 14.5 per cent to around US$9.3 billion during the year, aided by favourable policy amendments.