Eco Survey of Jammu Kashmir

Eco-Survey paints gloomy picture J&K figures at bottom for growth, domestic product

 Jammu and Kashmir is not placed at desired level having 27th place in the inter-state comparison at all India level in terms of economic growth measured on net state domestic product at current prices for the year 2007-08.

If ranked in terms of per capita GDP at constant prices in comparison with neighboring states and Union Territory Chandigarh, J&K is placed at rank 6th out of seven states and more surprisingly far below the national level per capita as well as growth rate of GSDP as per quick estimates 2009-10.

This gloomy scenario about the state’s economy had glimpses in the Economic Survey 2011, which was tabled in the Legislative Assembly here today by the Minister for Finance Abdul Rahim Rather.The Survey pointed out that the fiscal deficit of around 4.96 percent of GSDP (in 2010-11) requires immediate corrective action. Mufti-pronged strategy in terms of mobilization of additional resources, greater tax and non-tax collection, cost of recovery of use charges, full funding of Plan and expenditure compression, particularly establishment related, is required to be put in place.

It also stated that the revenue from own resources to the state is very low (around 21 percent), of the total revenue receipts. Comparing the revenue situation of the state via-a-vis its expenditures for last 6 years, there always remains a deficit. This deficit has increased from Rs 2244.00 Cr in 2005-06 to Rs 2367.00 Cr in 2010-11.

As per the Survey, the growth in primary sector which includes Agriculture and allied activities is not encouraging ranging between 3.83 percent (2008-09) and 2.28 percent as per advance estimates for 2011-12, the growth rate figures for this sector at national level are much higher (6.6 percent) as per revised estimates for 2010-11.        

In the overview of J&K’s economy, decade growth during 2001-2011 declined to 23.71% from 29.43% during 1991-2001. The average annual exponential growth declined to 2.15% per annul during 2001-2011 from 2.61% per annul during 1991-2001.

The child sex ratio [0 to 6 years] has shown a sharp decline from 941 in 2001 to 859 as per census 2011. The overall sex ratio of the state has also declined from 892 in 2001 to 883 in 2011. It showed a continuing preference for male children over females in the last decade.

Amid economic slowdown witnessed at the national level due to high inflationary conditions and gloomy global economic scenario, the State has continued to steer through the path of development and maintained the growth momentum. The advanced estimates of the growth rate of the State measured by Gross State Domestic Product (GSDP) at constant 2004-05 prices for the year 2011-12 is 6.78% as compared to 6.63% during the year 2010-11. During first three years of the Eleventh FYP, the economy is estimated to have grown by 6.40% in 2007-08, 6.46% in 2008-09 and only 4.80% in 2009-10 (Quick Estimates). The average annual growth rate of GSDP (at constant 2004-05 prices) for the 11th FYP period is estimated at 6.21% which though short of the stiff target growth rate of 8%, yet it is reasonable keeping in view the growth rate of only 5.45% recorded during the 10th FYP period. The growth rate of Net State Domestic Product (NSDP) at constant prices during 11th FYP period is estimated at 5.78 percent which is comparably better than the past performance of growth rate of 4.21% per year in the 9th Plan period (1997-2002) and 5.52% in the 10* FYP period (2002-07).