Five years plan and Growth-3/”>Inclusive Growth in Karnataka
Karnataka is one of the fastest growing states in India. The natural Resources, policy incentives and Infrastructure-2/”>INFRASTRUCTURE in the state favour investments in the IT/ITeS, Biotechnology, engineering, electronics, automotive, textiles, agri and food-processing sectors.
Between 2011-12 and 2017-18, the GSDP of the state grew at a Compound Annual Growth Rate (CAGR) of 13.11 per cent to reach Rs12.69 trillion (US$ 196.88 billion) and the net state domestic product (NSDP) grew at a CAGR of 12.83 per cent to reach Rs 11.45 trillion (US$ 177.68 billion).
Karnataka’s favourable policies have encouraged industries to set up their research and development (R&D) centres in the state. The state has about 401 R&D centres, the most in India. Around 400 of the Fortune Global 500 companies outsource their IT Services to firms in Bengaluru.
Karnataka is making significant investments in industrial infrastructure, such as setting up industrial clusters and SEZs and public-private PARTNERSHIP (PPP) projects to provide an impetus to further industrial development.
The upgraded Belagavi airport was inaugurated in September 2017. Modernisation of the airport was done at a cost of US$ 18.67 million and it now has capacity to handle over 300 passengers.
In October 2017, the government approved setting up of a new industrial park in Harohalli. The proposed multi-product industrial park will be built by Karnataka Industrial Areas Development Board (KIADB) on an area of about 904.86 hectares with an Investment of US$ 242.8 million.
A 300-acre SEZ has been created in Belgaum to develop a precision engineering and manufacturing supply chain ecosystem, which would be a great driver for manufacturing industries.
The start-ups warehouse set up by the State Government in association with National Association of Software and Services Companies (NASSCOM) has attracted 170 start-ups.
Under the New Textile Policy 2013-18, the government plans to invest US$ 1,650 million in the textile sector. The policy offers various incentives for investments in the textile sector; these include credit linked capital subsidy, entry tax reimbursement and power subsidy.
In September 2017, the state government passed the ‘Karnataka Electric Vehicle and Energy Storage Policy 2017’. Electric Vehicles manufacturing in Karnataka is expected to attract investments worth US$ 4.82 billion and create 55,000 jobs. Also, a new Animation, Visual Effects, Gaming and Comics (AVGC) policy has been introduced for 2017-2022. The policy aims to encourage and support appropriate manpower development, Infrastructure Development and business development in the AVGC sector.
Agriculture is the mainstay of the people in the state. Cultivators and agricultural labourers form about 56 per cent of the workforce (2001 census). Agriculture in the state is characterised by wide crop diversifi cation. The extent of arid land in Karnataka being second only to Rajasthan in the country, agriculture is highly dependant on the vagaries of the southwest monsoon. Out of the net area sown, only 25 per cent is irrigated.
In 1957-58 to 26.4 lakh hectares in 2000-01. By 2000, the state had invested about Rs.14,267 crore, of which Rs.13,399 crore was spent on major and medium irrigation and Rs.868 crore on minor irrigation. At the end of March 2001, the irrigation potential created by major, medium and minor (surface water) irrigation was about 18.11 lakh hectares out of a projected 29.73 lakh hectares potential. The irrigation potential from all sources is estimated at 55 lakh hectares and the potential created up to 2003-04 is 30.61 lakh hectares.1 The total potential of exploitable Water Resources in the state is about 36.22 lakh hectares (including ground water, which irrigates 9.08 lakh hectares). The present proportion of net area irrigated to net area sown is about 25 percent.
Karnataka, a pioneer in industrial development, now stands sixth among the states in terms of output. It has a strong and vibrant industrial base built up over the years with a wide Network of large and medium industries in the public and private sectors and a large small-scale Industrial Sector. The annual Average growth of industrial production was 6.63 per cent (Base Year 1993-94) between 1994-95 and 2003-04. The Economic Census 1998 reveals that there were 19.12 lakh enterprises in the state, engaged in various economic activities other than crop production and plantations. The number of enterprises increased by 12.9 per cent, from 16.94 lakh in 1990 to 19.12 lakh in 1998, while the number of persons usually working in the enterprises increased by 3.3 per cent, from 50.83 lakh to 52.53 lakh. Karnataka accounted for 8 per cent of all-India enterprises and 8.15 per cent of total ‘usually working’ EMPLOYMENT.
Agricultural production and productivity in the state have received a tremendous setback in recent years (2001-02 to 2003-04) due to the continuous prevalence of drought conditions. Thereafter, agricultural production, particularly Cereals, has improved due to relatively good monsoons in the year 2004-05. Food grain production is expected to reach about 97 lakh tonnes against the target of 108.17 lakh tonnes in 2004-05. The vast extent of dry, unirrigated land, located primarily in northern Karnataka, casts its long shadow on the socio-Economic Development of the local people in many signifi cant ways, as the Report shows.
,
Karnataka is one of the most developed states in India. It has a strong economy and a high standard of living. However, there are still many challenges that need to be addressed in order to achieve inclusive growth.
One of the key challenges is POVERTY and inequality. According to the 2011 Census, 17.9% of the Population of Karnataka lived below the Poverty Line. The state also has a high Gini coefficient, which is a measure of inequality.
Another challenge is lack of Education and skills. A large proportion of the population of Karnataka does not have access to quality education and skills training. This is a major barrier to employment and economic opportunities.
Poor infrastructure is another challenge. Karnataka has a poor infrastructure, especially in rural areas. This makes it difficult for people to access basic services such as education, healthcare, and employment.
Gender inequality is another challenge. Women in Karnataka face discrimination in education, employment, and healthcare. This limits their opportunities for economic and social advancement.
Environmental Degradation is another challenge. Karnataka is facing a number of environmental challenges, such as deforestation, Air Pollution, and Water Pollution. These challenges are a threat to the state’s economy and Environment.
Despite these challenges, there are also many opportunities for inclusive growth in Karnataka. The state has a strong economy and a high standard of living. It also has a young and educated population.
The government of Karnataka has taken some steps to promote inclusive growth. For example, it has launched a number of programs to improve education and skills training, develop infrastructure, and address gender inequality. However, more needs to be done to address the challenges of poverty, inequality, and environmental degradation.
The following are some of the policies and strategies that can be implemented to promote inclusive growth in Karnataka:
- Investing in education and skills training: The government should invest in quality education and skills training for all sections of the population. This will help to improve the employability of people and reduce poverty and inequality.
- Developing infrastructure: The government should develop infrastructure, especially in rural areas. This will help to improve access to basic services and create employment opportunities.
- Addressing gender inequality: The government should take steps to address gender inequality in education, employment, and healthcare. This will help to empower women and improve their opportunities for economic and social advancement.
- Protecting the environment: The government should take steps to protect the environment. This will help to ensure the sustainability of the state’s economy and environment.
Inclusive growth is essential for the Sustainable Development of Karnataka. By addressing the challenges of poverty, inequality, and environmental degradation, the government can create a more prosperous and equitable Society for all.
Here are some frequently asked questions and short answers about inclusive growth in Karnataka:
What is inclusive growth?
Inclusive growth is a type of economic growth that benefits all segments of society, including the poor and marginalized. It is achieved through policies that promote Equality of opportunity and access to resources.Why is inclusive growth important?
Inclusive growth is important because it helps to reduce poverty and inequality. It also promotes social cohesion and stability.What are the challenges to inclusive growth in Karnataka?
The challenges to inclusive growth in Karnataka include:- High levels of poverty and inequality
- Lack of access to education and healthcare
- Poor infrastructure
Inefficient government services
What are the government’s initiatives to promote inclusive growth in Karnataka?
The government of Karnataka has taken a number of initiatives to promote inclusive growth, including:- Investing in education and healthcare
- Improving infrastructure
- Decentralizing government services
Promoting Entrepreneurship
What are the results of the government’s initiatives to promote inclusive growth in Karnataka?
The results of the government’s initiatives to promote inclusive growth in Karnataka have been mixed. Some progress has been made in reducing poverty and inequality, but there are still significant challenges to be overcome.What are the opportunities for inclusive growth in Karnataka?
The opportunities for inclusive growth in Karnataka are significant. The state has a young and growing population, a strong economy, and a number of Natural Resources. With the right policies in place, Karnataka could become a model for inclusive growth in India.What are the risks to inclusive growth in Karnataka?
The risks to inclusive growth in Karnataka include:- Political instability
- Social unrest
- Natural disasters
Economic slowdown
What are the recommendations for inclusive growth in Karnataka?
The recommendations for inclusive growth in Karnataka include:- Investing in education and healthcare
- Improving infrastructure
- Decentralizing government services
- Promoting entrepreneurship
- Reducing Corruption
- Strengthening institutions
- Promoting social cohesion
Which of the following is not a goal of the Karnataka government’s five-year plan?
(A) To increase the state’s GDP by 10% per year
(B) To reduce poverty by 50%
(C) To improve education and healthcare
(D) To increase the number of jobsWhich of the following is not a challenge facing the Karnataka government’s five-year plan?
(A) The state’s population is growing rapidly
(B) The state is facing a water crisis
(C) The state is facing an infrastructure deficit
(D) The state is facing a law and order problemWhich of the following is a key initiative of the Karnataka government’s five-year plan?
(A) The development of a new industrial corridor
(B) The construction of a new international airport
(C) The launch of a new Health insurance scheme
(D) The introduction of a new education policyWhich of the following is a likely impact of the Karnataka government’s five-year plan?
(A) The state’s economy will grow faster
(B) The state’s infrastructure will improve
(C) The state’s people will be better off
(D) All of the aboveWhich of the following is a likely challenge to the implementation of the Karnataka government’s five-year plan?
(A) The state’s finances are strained
(B) There is a lack of skilled manpower
(C) There is a lack of coordination between different government departments
(D) All of the aboveWhich of the following is a likely outcome of the Karnataka government’s five-year plan?
(A) The state will become a more developed and prosperous place
(B) The state will become a more equitable and inclusive place
(C) The state will become a more sustainable and environmentally friendly place
(D) All of the above