GSDP declining every year : CM
Source: The Sangai Express
Imphal, February 23 2016:
Despite all the efforts to optimize resource mobilization, the State's Gross State Domestic Product (GSDP) has been declining every year, Ibobi informed the House today while discussing the budget estimates for 2016-17 .
Loss of sales tax and other revenues, and frequent bandhs and blockades are the primary reasons for the declining GSDP.
Other reasons are deduction from the total expected by the State from the 13th and 14th Finance Commissions, Ibobi continued.
After the Finance Commission was replaced by NITI Aayog, special (State) category status given to Manipur was also removed thereby leading to the loss of substantial amount of money which the State used to receive earlier.
Around Rs 2100 crore received from SCA, ACA and NCA has been scrapped.
Another Rs 350 crore given to the State under health sector too has been cancelled.
Given all these new measures, the Government of India's Act East Policy looks rather perplexing, Ibobi remarked.
In the face of all these detrimental factors, the State Government has been implementing different development works by using the available resources very judiciously, Ibobi informed the House.
MLAs L Ibomcha, Dr I Ibohalbi and Th Shyamkumar said that the State budget reflects a growth rate of just 8 per cent and it would not be able to bring any meaningful improvement to the State's economy.