Chairman of the 15th Finance Commission NK Singh said Chhattisgarh is facing three challenges to further its growth story.
He said the Chhattisgarh first needs a quantum jump in its growth rate and for this he emphasised on reforms, diversification of crops and contract farming to push agriculture production and expand irrigation facilities.
Addressing the media persons on Thursday, Singh further said these steps will assist to increase the per capita income of citizens of the state and will also help counter poverty.
Appreciating Chhattisgarh Government, Singh said the State has a fiscal deficit less than 3% of the GSDP while the expenditure (on salary, pension and interest) has been kept at 35.8% which is lower than all other States, including the revenue surplus States.
Against this backdrop, Commission chairman said, “Per capita annual income is just Rs 96,887 against national average of Rs 1,26,405 while the poverty ratio is 39.8% against national average of 21%.”
He pointed out as per sustainable development goals (SDGs) the State has to act on anemia, infant mortality rate (IMR), maternal mortality rate (MMR), education outcome and doctors’ achievements.
With a forest cover of around 40% in the State, Singh said, the Commission would support steps of Chief Minister Bhupesh Baghel in laying emphasis on opening minor forest produce value addition based industries, as state has one of the highest population of tribal.He said Left Wing Extremism is also a challenge in the State.
Singh further said Commission would sympathetically consider the demands made in the memorandum submitted by Chhattisgarh government. The issue of GST revenue reduction was raised which has also been raised by other States.
“As the GST does not fall under its mandate, the matter will be taken up with the GST Council during interaction,” the chairman said.