State betters national rate, poor becomes poorer

BHUBANESWAR: The claims of Odisha Government of a growth rate higher than the national average has not done any good to the poor of the State. The southern and northern regions of the State remain one of the poorest and are home to the highest concentration of those living below poverty line (BPL). A whopping 85 per cent of the poor are in southern and northern regions, the State Economic Survey, 2011-12, has revealed. On the contrary, the coastal Odisha remains affluent with just 16 per cent living below poverty line. While the regional disparity remains wide, the Survey says ST communities remain poorer than other social groups. The ST and SC communities together account for 70 per cent of the poor in the State and it is seen in the concentration of BPL families in northern and southern pockets where they mostly inhabit.  Since the concentration of poverty has been in a specific region and among specific social classes, the Survey says Odisha needs to undertake special efforts to reduce the poverty at a faster rate while the economy must grow still faster  than the national average. The Survey shows that the State has witnessed sluggishness in its overall growth rate. If the Gross State Domestic Product (GSDP) stood at 8.60 per cent in 2010-11, during 2011-12, the anticipated growth rate is estimated at 7.18 per cent against an all-India rate of 6.88 per cent. In the first four years of the 11th Plan, the State’s average real annual growth rate was 8.49 per cent but the Plan average is expected to be around 8.23 per cent.  Although the State boasts of a growth rate higher than the national average, the recent sluggishness is expected to be reflected in different sectors over the next one year. “There is a need to put in extra effort so that Odisha’s economy continues to grow at a rate higher than the national average over a longer period to catch up with the rest of India. Higher growth of the State economy is desirable to avoid stagnation in Odisha’s standard of living relative to the national average,” the Survey says. In terms of real per capita income, Odisha, with ` 24,275 for 2009-10, managed to remain above Bihar, UP, MP, Assam, Jharkhand and Rajasthan. Similarly, the rural-urban gap remained pronounced in the State although it widened marginally nationwide.