Maharashtra’s growth slows down

The economic survey for the state (2011-12) has projected an overall negative growth in the state. The survey portrays the Gross State Domestic Product (GSDP) growth at 8.5% (2011-12) against 11.3% (2010-11). The state debt is expected to cross Rs2,26,926 crore which constitutes 18.2% of the state GSDP.

The most alarming situation arises from the slowdown in the agriculture sector. Agricultural growth is pegged at 9.1%, much below the target because of the negative growth of allied sectors at -5.1%. The production of food grains decreased by 23%. Only 118.09 lakh metric tonnes were produced during 2011-12 compared to 154.19 lakh metric tonnes the previous year.

CM Prithviraj Chavan reckons he will have to pull the purse strings for better money management coupled with exploring new avenues for revenue generation to overcome the challenges of a slowing economy.