Current Affairs

UPSC GROSS STATE DOMESTIC PRODUCT - English

GROSS STATE DOMESTIC PRODUCT

Why in News?

Recently, the Union Ministry of Statistics and Programme Implementation has released figures for the Gross State Domestic Products.

Gross State Domestic Product (GSDP) is a measure in monetary terms, the sum total volume of all finished goods and services produced during a given period of time, usually a year, within the geographical boundaries of the State, accounted without duplication.

Significance:

• Gross State Domestic Product (GSDP) or State Income is the most important indicator for measuring the economic growth of a State.
• These estimates of the economy, over a period of time, reveal the extent and direction of the changes in the levels of economic development.
• The State Domestic Product is classified under three broad sectors such as Primary sector, Secondary sector and Tertiary sector and is compiled economic activity wise as per the methodology prescribed by the National Accounts Division, National Statistical Office, Ministry of Statistics & Programme Implementation, Govt. of India.
• In 2015, NSO introduced the new series of national accounts statistics with base year 2011-12, replacing the previous series with base year 2004-05.

Key Findings

• Size of the Gross State Domestic Product (GSDP) of the 19 states and UTs had contracted or recorded a negligible growth during 2020-21 — the year when the government had imposed a nationwide lockdown in view of the Covid-19 outbreak.

• These 19 states and UTs are Andhra Pradesh, Rajasthan, Bihar, Telangana, Delhi, Odisha, Madhya Pradesh, Haryana, Karnataka, Tripura, Sikkim, Himachal Pradesh, Meghalaya, Jharkhand, Tamil Nadu, Jammu and Kashmir, Punjab, Uttarakhand and Puducherry.
• Their economies (GSDP) bounced back in 2021-22 and exceeded their pre-Covid (2019-20) levels.
• Kerala and Uttar Pradesh are the only exceptions in 2021-22 which recorded GSDP below the pre-Covid levels.
• Andhra recorded the highest growth of 11.43%, Puducherry recorded the lowest at 3.31%.
• Besides Andhra Pradesh, five other states and one UT recorded double digit growth in 2021-22:
  • Rajasthan: 11.04%
  • Bihar: 10.98%
  • Telangana: 10.88%
  • Odisha: 10.19%
  • Madhya Pradesh: 10.12%
  • Delhi: 10.23%

TNPSC ACHIEVERS Achievers