This is What Makes Chhattisgarh One of the Fastest Growing States

From being characterized as one of the BIMARU states, to a state that is at the forefront of several social and fiscal indicators, Chhattisgarh has undoubtedly come a long way in the 18 years since its inception. The state government’s vision and governance has made sure that its development has been both sustainable as well as equitably spread over all sectors: agriculture, education, business and skill development being key among them. The state’s growth is reflected by the fact that it is now ranked among the few elite states leading on several indices.

In its report “States of Growth”, released in December 2017, CRISIL has ranked Chhattisgarh as the fourth fastest growing state nationwide on Gross Value-Added parameters such as manufacturing, trade, transport, utility service and labour. The state ranks at a commendable sixth nationwide in terms of “Ease of Doing Business”, in the rankings released in 2018 by the Department of Industrial Policy and Promotion of the Union Ministry of Commerce and Industry. The Gross State Domestic Product per capita growth rate of Chhattisgarh has been averaging at a very healthy 11% over the last three years, and the state has attracted investments intents of over a staggering ₹7 lakh crores over the last five years. It is one of the best fiscally managed states, as per the Reserve Bank of India making it a very lucrative investment destination.

The state’s growth story is built upon range of natural factors, policy initiatives and governance strategies. One important reason propelling this growth is Chhattisgarh’s vast mineral resources. Chhattisgarh is a leading producer of minerals like iron ore, dolomite and coal. It produces 15% of India’s steel, and a 100% of its aluminium. The state is also rich in bauxite, limestone, quartzite and tin concentrates, all key resources for construction as well as heavy industry. Chhattisgarh is also a power surplus state, one of the very few in the country. It is the first electricity-cuts free state in the country.

The state’s investment policies reflect a singular concern for accelerating economic growth through providing an atmosphere conducive for business investments. Several high-level institutions have been set up to enable investments in the state, like the State Investment Promotion Board (SIPB), Chhattisgarh State Industrial Development Corporation (CSIDC), Chhattisgarh Infotech Promotion Society (CHiPS) and the Atal Nagar Development Authority. The state has a Single Window System for investors, helping investors apply for NOCs, licenses, clearances and registrations online, make electronic payments, and file for grievance redressal online. Chhattisgarh is also the first state to set up a District Mineral Foundation (DMF) Fund to facilitate development in mining areas, Chhattisgarh is now among the top three states in terms of DMF collections in India, at ₹2,746 crores till April of 2018. Several key projects have received financial support from the DMF, like the Education City in Dantewada, the Bijapur District Hospital, and the Nalanda Parisar in Raipur.

A significant factor buoying the state’s growth is the proposed new capital, now re-named as Atal Nagar from Naya Raipur, in honour of the late Prime Minister Atal Bihari Vajpayee. Located 17km south-east of the present capital Raipur, it has been developed as a Smart City under the Prime Minister’s Smart City Mission, with world class infrastructure and planning. With several new projects under way, the new capital is set to lead the state’s growth in terms of business investment as well as employment generation. Atal Nagar is to be the site for the state’s first Electronic Manufacturing Cluster (EMC), providing manufacturing support and infrastructure to investors seeking to manufacture electronics in the state. Similarly, the new capital will see a Central Business District (CBD), an IT/ITeS SEZ, and a Multi Modal Logistical Park, all of which are already under way. Several Memorandum of Understandings (MoU) have been signed with investors by the state government, with investments of over ₹1000 crores for the EMC alone in Atal Nagar. While the new capital is bringing in investments, it is also generating employment for the considerable skilled workforce in the state, both in the capital region and elsewhere. The EMC, for instance, is expected to employ at least 3,800 people.

Another factor working in favour of Chhattisgarh is its geographical location and easy connectivity. With seven airports, the state is easily accessible by air from all parts of the country. All the main metro cities are within 100 minutes by air. The state also shares its border with seven other states, making it a nerve centre for trade and transport.

Agriculture is one of the key priority areas for the state. In its annual budget for 2018-19, the allocation for agricultural sector was increased by 29% from last year, to ₹13,480 crores, with a provision of ₹2107 crores to help farmers procure paddy. Recently, the state government announced that it will give a bonus of ₹300 per quintal to paddy farmers, in addition to the Minimum Support Price.

Apart from generating revenue and investment, education is also a top priority for the state. The current capital, Raipur, has a thriving Right to Education mechanism, with as many as 5,500 children from underprivileged families admitted to top schools for free. Raipur is also home to the Nalanda Parisar, a one of its kind dedicated community learning zone for the youth of the state. Built over a 6-acre campus, and with funds from the District Mineral Fund, Nalanda Parisar has a unique student resource centre, the Oxy Reading Zone. It is a 24x7 community library with books and reference material worth over ₹2 crores. It can accommodate over a thousand students. There is no dearth of world-class higher educational facilities as well. Raipur has a National Institute of Technology, an AIIMS, and the Hidayatullah National Law University. Apart from these, there are 32 government and 28 private polytechnic colleges across the state. There are now 178 government ITIs all across the state, imparting skill-based training to 25,589 students.  

The state is evidently scaling new heights of development in terms of business investments, job creation, education and governance. On the whole, Chhattisgarh is a state you would want to place your bets on, whether you’re an investor, a student, or a job seeker.