Odisha economy grew at 7.14 per cent in 2017-18: Report

Odisha economy registered a growth rate of 7.14 per cent in 2017-18 at 2011-12 prices, according to the latest Economic Survey report of the state.

The growth has surpassed the all-India figure of 6.5 per cent during the same period, it said.

The survey report, tabled in the state Assembly today, said that the services sector contributed 45.25 per cent to the Gross State Domestic Product (GSDP) in 2017-18, compared with 38.54 per cent in 2011-12.

In terms of the size of the economy, GSDP at 2011-12 prices stood at Rs 2.30 lakh crore in the same period, and increased to Rs 3.23 lakh crore in 2016-17.

"It is further expected to rise up to Rs 3.46 lakh crore in 2017-18, showing a growth rate of 7.14 per cent," the report said.

The share of agriculture, however, declined to 20 per cent from an overbearing 60 per cent in the 1960s, but the share of population dependent on the sector continues to be significant at around 50 per cent, it stated.

During 2017-18, the mining, manufacturing and construction sectors were estimated to grow moderately at 4.6 per cent, while electricity, water supply and other utility services sub-sector is expected to clock a growth rate of 9.6 per cent, the report said.

A disconcerting issue relates to the declining share of the industry in the GSDP, the Economic Survey noted.

"It has declined from 43.6 per cent in 2011-12 to an estimated 34.8 per cent in 2017-18, even as the mineral-rich state has a huge potential for industrsialisation," it said.

The per capita income at base year price of the state in terms of GSDP is estimated to be Rs 77,193 in 2017-18 as against Rs 72,780 in 2016-17.

"At current prices, the per capita income of the state during 2017-18 is likely to touch the level of Rs 92,727, while it will be Rs 126,349 at the national level," it said.

The consumer price inflation in the state exhibited a fluctuating trend, and was at the lowest level of 1.3 per cent in 2017 (up to November) as against the all-India level of 3.1 per cent, the report said.

Noting that poverty reduction and human development are ultimate goals of a development process, the report said that Odisha had the distinction of achieving the largest poverty reduction from 57.2 per cent to 32.6 per cent between 2004-05 and 2011-12.