DISCIPLINED GROWTH OF GUJARAT

Considering the overall growth potential of Gujarat, the Planning Commission had set a target growth rate of 10.2% for Gujarat in the 10th five year plan compared to the average of 8.2% for the entire country; and true to this spirit of economic buoyancy, Gujarat achieved a growth rate of 15% in the first year itself and surpassed the target of 10.2% set by the planning commission.

What is more important is that the growth is coupled with financial discipline. Soon after he became the Chief Minister, Shri Modi focused on curtailing government expenditure and emphasized on the recovery of government dues. In Gujarat, development expenditure is more than the non-development expenditure in Gujarat, which is an unusual phenomenon. Gujarat’s GDP growth has scaled to 11.3% and Agriculture has grown at nearly 10.97% per annum.

Over the last few years, the Government of Gujarat has also succeeded in completely wiping off the revenue deficit from the level of Rs. 7,000 crores and is poised to be a revenue surplus state.

On account of the abundant availability of gas and with a view to proliferate its usage both by industry and household, he reduced the sales tax on gas from 20% to 12%. His fiscal prudence has enabled the turning around of ‘PSU’s (Public Sector Units) such as GSFC, GMDC, GIPCL, GNFC, GACL and resulted in enhancing their market capitalization to an all time high.

Power is essential for India’s long-term growth. When Shri Narendra Modi became the Chief Minister of Gujarat in 2001, there was a shortfall of 2,000 MW power in the State. Whereas the nation is still facing a similar situation, Gujarat introduced the Jyotigram scheme to provide round-the-clock power in every nook and corner of Gujarat and today Gujarat has become a power surplus state. Shri Narendra Modi says, “Gujarat has 4,000 MW suplus electricity and it will generate 7,000 MW surplus power by the end of 2012, which is the overall production rate of many Indian states.”

He also addressed certain basic issues plaguing the economy and brought about financial discipline. He has demonstrated adequate courage to hike the electricity tariff in certain sectors, checking power theft, not succumbing to the demand for undue subsidies, cancellation of fake ration cards etc. At the same time, his decisive reforms such as rationalization of taxes, system for improving cash collections for power sector and the like have improved the economic health of the state.

On other fronts, Shri Modi has not left any sector behind be it agriculture, primary or higher education, women empowerment, tourism, infrastructure, business development, auto sector, or foreign investments.

Have a look at the following video to get a quick idea of Gujarat’s disciplined growth -

Gujarat’s Growth is for India’s Growth

Also watch, the following related videos displaying the major initiatives Shri Modi has brought into execution to bring about a disciplined growth in Gujarat –