Madhya Pradesh Economy Updated Data- Must for MPPSC Prelims and Mains Exam

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Madhya pradesh economic updates

Gross State Domestic Product

The Gross State Domestic Product of Madhya Pradesh for 2018-19 (at current prices) is estimated to be Rs 8,26,106 This is 19.7% higher than the revised estimate for 2017-18.  Note that the GSDP in 2017-18 is expected to be 6% lower than what was estimated at the budget stage.

Economic Growth rate trends

The Gross State Domestic Product (GSDP) of Madhya Pradesh increased from 5.4% in 2014-15 to 12.2% in 2016-17.

Growth in agriculture increased from 3.7% in 2014-15 to 20.4% in 2016-17.  Services sector witnessed a decline from 12.5% in 2015-16 to 8.8% in 2016-17.  During the same period, manufacturing saw an increase of 0.6%.

Total expenditure

Total expenditure for 2018-19 is estimated to be Rs 1,86,685 crore, a 13.6% increase over the revised estimate of 2017-18. In 2017-18, the revised estimates indicate that the expenditure is expected to be Rs 5,660 crore lower than the budget estimate.

Total receipts

Total receipts (excluding borrowings) for 2018-19 are estimated to be Rs 1,61,356 crore, an increase of 13.9% as compared to the revised estimates of 2017-18. In 2017-18, total receipts (excluding borrowings) fell short of the budgeted estimate by Rs 3,486 crore (2.4%).

Revenue surplus

Revenue surplus for the next financial year is targeted at Rs 263 crore, or 0.03% of the Gross State Domestic Product (GSDP). Fiscal Deficit is targeted at Rs 26,780 crore (3.2% of GSDP).

Mukhyamantri Bhavantar Bhugtan Yojana

To ensure that farmers get the beneficial value for their crops, the government had launched the Mukhyamantri Bhavantar Bhugtan Yojana. Under the scheme, the difference between the support price and the Market Price is directly deposited in the bank accounts of the farmers.  As per the budget, Rs 1,500 crore has been deposited to 10.5 lakh farmers’ accounts.  The budget allocates an amount of Rs 37,498 to the agriculture sector.

Health budget

Under the National Health Mission, the government has allocated Rs 1,975 crore for 2018-19. The government had launched the Swasthya Kshetra Nivesh Protsahan Yojana to promote Investment for establishing hospitals and dispensaries.  The budget has proposed setting up of 10 bed hospitals in small and rural areas with a 40% investment from the government and remaining from private parties.

Per Capita GSDP

Per capita GSDP in 2016-17 was Rs 59,052 crore.  It increased from 3.9% in 2014-15 to 10.6% in 2016-17.

Capital Expenditure

Capital expenditure for 2018-19 is proposed to be Rs 31,061 crore, which is an increase of 4.2% over the revised estimates of 2017-18. This includes expenditure which affects the assets and liabilities of the state, and leads to creation of assets (such as bridges and hospitals), and repayment of loans, among others.  In 2017-18, the capital expenditure of Madhya Pradesh was 16% lower than its budget estimates.

Revenue Expenditure

Revenue expenditure for 2018-19 is proposed to be Rs 1,55,624 crore, which is an increase of 15.7% over revised estimates of 2017-18. This expenditure includes payment of salaries and pensions, and maintenance of existing Infrastructure-2/”>INFRASTRUCTURE.  In 2017-18, the revenue expenditure of Madhya Pradesh was similar to its budget estimate.

 

Total Revenue Receipts

The total revenue receipts for 2018-19 are estimated to be Rs 1,86,699 crore, an increase of 13.7% over the revised estimates of 2017-18. Of this, Rs 65,589 crore (42% of the revenue receipts) will be raised by the state through its own Resources, and Rs 90,297 crore (58% of the revenue receipts) will be devolved by the centre in the form of grants and the state’s share in taxes.

Non-Tax Revenue

Madhya Pradesh has estimated to generate Rs 10,934 crore through non-tax sources in 2018-19.  This is a decrease of 15% over the revised estimates of 2017-18.

Tax Revenue

Total own tax revenue of Madhya Pradesh is estimated to be Rs 54,655 crore in 2018-19. The composition of the state’s tax revenue is shown in Figure 2. The tax to GSDP ratio is targeted at 6.62% in 2018-19, which is 0.1% less than the revised estimate of 6.72% in 2017-18.

Revenue surplus

It is the excess of revenue receipts over revenue expenditure. A revenue surplus implies that the government is not required to borrow in order to finance its expenses which do not create capital assets.  The budget estimates a revenue surplus of Rs 263 crore (0.03% of GSDP) in 2018-19.  This implies that revenue receipts are expected to be higher than the revenue expenditure, resulting in a surplus. The 14th Finance Commission had recommended that states should eliminate revenue deficits. The estimates in the Madhya Pradesh Budget 2018-19 suggest that the state is expected to achieve this target of eliminating Revenue Deficit.

Fiscal deficit

It is the excess of total expenditure over total receipts.  This gap is filled by borrowings by the government, and leads to an increase in total liabilities.  In 2018-19, fiscal deficit is estimated to be Rs 26,780 crore, which is 3.2% of the GSDP.  This estimate is higher than the 3% limit prescribed by the 14th Finance Commission.  This limit may be relaxed to a maximum of 3.5%, if states are able to contain their debt and interest payments to certain specified levels.

Education budget

Madhya Pradesh has allocated 12.9% on education in 2018-19.  This is lower than the Average expenditure allocated to education by 18 other states (using 2017-18 BE).

Health budget

Madhya Pradesh has allocated 2.8% of its total expenditure on health, which is lower than the average expenditure of 18 other states.

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Madhya Pradesh is the largest state in India by area, and the 7th most populous. The state has a diverse economy, with agriculture, Industry, and services all playing important roles.

Agriculture is the backbone of the Madhya Pradesh economy, employing over 60% of the workforce. The state is a major producer of rice, wheat, soybeans, and Cotton. The government has been investing in Irrigation and other infrastructure to support the agricultural sector.

Industry is also a major contributor to the Madhya Pradesh economy. The state is home to a number of large industrial companies, including Bharat Heavy Electricals Limited (BHEL), Hindustan Zinc Limited (HZL), and SAIL. The government has been promoting investment in the state through a number of initiatives, such as the Madhya Pradesh Industrial Policy 2014.

The services sector is the fastest growing sector of the Madhya Pradesh economy. The state is home to a number of IT companies, call centers, and educational institutions. The government has been promoting the development of the services sector through a number of initiatives, such as the Madhya Pradesh IT Policy 2013.

Infrastructure is a key enabler of economic growth. The Madhya Pradesh government has been investing heavily in Infrastructure Development, including roads, railways, Airports, and power Plants. The government has also been working to improve the state’s business Environment.

Human Development is a key goal of the Madhya Pradesh government. The government has been investing in education, health, and social welfare programs. The state has made significant progress in reducing POVERTY and improving the Quality Of Life for its citizens.

Economic Development is a key priority of the Madhya Pradesh government. The government has been working to create a more conducive environment for businesses to operate in the state. The government has also been promoting investment in the state through a number of initiatives.

The Madhya Pradesh economy faces a number of challenges, including infrastructure bottlenecks, power shortages, and Corruption. However, the state has a number of strengths, including a large and growing workforce, a diverse economy, and a supportive government. The Madhya Pradesh economy is expected to continue to grow in the coming years.

The following are some of the challenges and prospects of the Madhya Pradesh economy:

  • Challenges:
    • Infrastructure bottlenecks: The state faces a number of infrastructure bottlenecks, including poor roads, inadequate power supply, and limited air and rail connectivity.
    • Power shortages: The state faces frequent power shortages, which have a negative impact on businesses and industries.
    • Corruption: Corruption is a major problem in the state, which can discourage investment and slow economic growth.
  • Prospects:
    • Large and growing workforce: The state has a large and growing workforce, which can be a major asset for economic growth.
    • Diverse economy: The state has a diverse economy, with agriculture, industry, and services all playing important roles.
    • Supportive government: The State Government is supportive of economic development and has been taking steps to improve the business environment.

Overall, the Madhya Pradesh economy has a number of challenges and prospects. The state government needs to address the challenges in order to realize the full potential of the economy.

Here are some frequently asked questions and short answers about the Madhya Pradesh economy:

  1. What is the size of the Madhya Pradesh economy?

The Madhya Pradesh economy is the 10th largest economy in India, with a GDP of $100 billion in 2020.

  1. What are the main sectors of the Madhya Pradesh economy?

The main sectors of the Madhya Pradesh economy are agriculture, manufacturing, and services.

  1. What are the main challenges facing the Madhya Pradesh economy?

The main challenges facing the Madhya Pradesh economy are poverty, Unemployment, and infrastructure development.

  1. What are the government’s plans to address the challenges facing the Madhya Pradesh economy?

The government’s plans to address the challenges facing the Madhya Pradesh economy include investing in infrastructure, promoting agriculture, and creating jobs.

  1. What are the prospects for the Madhya Pradesh economy in the future?

The prospects for the Madhya Pradesh economy in the future are positive. The state has a young Population, a growing middle class, and a strong manufacturing sector.

  1. What are the key indicators of the Madhya Pradesh economy?

The key indicators of the Madhya Pradesh economy are GDP growth, Inflation, unemployment, and poverty.

  1. What are the main sources of revenue for the Madhya Pradesh government?

The main sources of revenue for the Madhya Pradesh government are taxes, fees, and grants from the central government.

  1. What are the main expenditures of the Madhya Pradesh government?

The main expenditures of the Madhya Pradesh government are education, health, and infrastructure.

  1. What is the fiscal deficit of the Madhya Pradesh government?

The fiscal deficit of the Madhya Pradesh government is the difference between its revenue and expenditure. The fiscal deficit of the Madhya Pradesh government was 3.5% of GDP in 2020.

  1. What is the debt of the Madhya Pradesh government?

The debt of the Madhya Pradesh government is the total amount of Money that the government owes. The debt of the Madhya Pradesh government was 25% of GDP in 2020.

  1. What is the inflation rate in Madhya Pradesh?

The inflation rate in Madhya Pradesh was 6.9% in 2020.

  1. What is the unemployment rate in Madhya Pradesh?

The unemployment rate in Madhya Pradesh was 8.5% in 2020.

  1. What is the poverty rate in Madhya Pradesh?

The poverty rate in Madhya Pradesh was 21.9% in 2011.

  1. What is the Literacy rate in Madhya Pradesh?

The literacy rate in Madhya Pradesh was 70.3% in 2011.

  1. What is the life expectancy in Madhya Pradesh?

The life expectancy in Madhya Pradesh is 68.3 years.

  1. What is the infant mortality rate in Madhya Pradesh?

The infant mortality rate in Madhya Pradesh is 43 deaths per 1,000 live births.

  1. What is the maternal mortality rate in Madhya Pradesh?

The maternal mortality rate in Madhya Pradesh is 226 deaths per 100,000 live births.

  1. What is the sex ratio in Madhya Pradesh?

The sex ratio in Madhya Pradesh is 918 females per 1,000 males.

  1. What is the literacy rate of Women in Madhya Pradesh?

The literacy rate of women in Madhya Pradesh is 57.9%.

  1. What is the female labor force participation rate in Madhya Pradesh?

The female labor force participation rate in Madhya Pradesh is 22.2%.

  1. What is the per capita income in Madhya Pradesh?

The per capita income in Madhya Pradesh was $1,500 in 2020.

  1. What is the Human Development index (HDI) of Madhya Pradesh?

The HDI of Madhya Pradesh is 0.622, which is below the national average of 0.632.

  1. What is the Gini coefficient of Madhya Pradesh?

The Gini coefficient of Madhya Pradesh is 32.3, which is higher than the national average of 30.9.

  1. What is the Human Poverty Index (HPI) of Madhya Pradesh?

The HPI of Madhya Pradesh is 22.4, which is below the national average of 24.6.

  1. What is the agricultural sector’s contribution to the Madhya Pradesh economy?

The agricultural sector contributes 23% to the Madhya Pradesh economy.

  1. Which of the following is not a major industry in Madhya Pradesh?
    (A) Agriculture
    (B) Mining
    (C) Manufacturing
    (D) Tourism

  2. The state of Madhya Pradesh is located in which of the following regions of India?
    (A) North India
    (B) Central India
    (C) South India
    (D) East India

  3. The capital of Madhya Pradesh is:
    (A) Bhopal
    (B) Indore
    (C) Gwalior
    (D) Jabalpur

  4. The Population of Madhya Pradesh is approximately:
    (A) 70 million
    (B) 80 million
    (C) 90 million
    (D) 100 million

  5. The Official Language of Madhya Pradesh is:
    (A) Hindi
    (B) Marathi
    (C) Gujarati
    (D) Punjabi

  6. The chief minister of Madhya Pradesh is:
    (A) Shivraj Singh Chouhan
    (B) Kamal Nath
    (C) Babulal Gaur
    (D) Uma Bharti

  7. The state bird of Madhya Pradesh is:
    (A) peacock
    (B) hornbill
    (C) kingfisher
    (D) parrot

  8. The state flower of Madhya Pradesh is:
    (A) lotus
    (B) rose
    (C) lily
    (D) jasmine

  9. The state tree of Madhya Pradesh is:
    (A) teak
    (B) sal
    (C) deodar
    (D) banyan

  10. The state animal of Madhya Pradesh is:
    (A) tiger
    (B) leopard
    (C) elephant
    (D) rhinoceros

  11. The state motto of Madhya Pradesh is:
    (A) Satyamev Jayate
    (B) Jai Hind
    (C) Vande Mataram
    (D) Bharat Mata Ki Jai

  12. The state song of Madhya Pradesh is:
    (A) “Madhya Pradesh Ke Hum Laal”
    (B) “Hum Hain Madhya Pradesh Ke”
    (C) “Madhya Pradesh Ki Shan”
    (D) “Madhya Pradesh Ki Awaz”

  13. The state flag of Madhya Pradesh is:
    (A) green with a white band in the middle
    (B) saffron with a white band in the middle
    (C) white with a green band in the middle
    (D) blue with a white band in the middle

  14. The State Emblem of Madhya Pradesh is:
    (A) a tiger
    (B) a peacock
    (C) a lotus
    (D) a banyan tree

  15. The state seal of Madhya Pradesh is:
    (A) a circle with the state motto in the center
    (B) a triangle with the state motto in the center
    (C) a square with the state motto in the center
    (D) a rectangle with the state motto in the center

  16. The state constitution of Madhya Pradesh was adopted on:
    (A) 1 November 1956
    (B) 1 November 1959
    (C) 1 November 1962
    (D) 1 November 1965

  17. The state government of Madhya Pradesh is headed by the:
    (A) chief minister
    (B) governor
    (C) speaker
    (D) prime minister

  18. The State Legislature of Madhya Pradesh is bicameral, consisting of the:
    (A) Vidhan Sabha and the Vidhan Parishad
    (B) Vidhan Sabha and the Rajya Sabha
    (C) Lok Sabha and the Rajya Sabha
    (D) Vidhan Sabha and the Lok Sabha

  19. The state judiciary of Madhya Pradesh is headed by the:
    (A) chief Justice
    (B) High Court
    (C) supreme court
    (D) district court

  20. The state economy of Madhya Pradesh is based on:
    (A) agriculture
    (B) industry
    (C) services
    (D) tourism

  21. The major agricultural crops of Madhya Pradesh are:
    (A) rice, wheat, and cotton
    (B) sugarcane, maize, and soybeans
    (C) tea, coffee, and rubber
    (D) jute, oilseeds, and pulses

  22. The major industrial sectors of Madhya Pradesh are:
    (A) mining, manufacturing, and power
    (B) textiles, chemicals, and pharmaceuticals
    (C) automobiles, electronics, and Software
    (D) steel, cement, and Fertilizers

  23. The major service sectors of Madhya Pradesh are:
    (A) tourism, education, and healthcare
    (B) Banking