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<p><strong>ECONOMY</strong></p><p>Gujarat is the only state where industry contributes more than 50 per cent to the economy. A sharp focus on industrial development and manufacturing has helped the state earn 40 per cent more per capita income than the national average. The state has kept up the pace of growth in sectors such as textiles, jewellery, ceramics and pharmaceuticals.</p><p>Gujarat received Foreign Direct Investment (FDI) worth $24,012 million in 2019-20, aro&shy;und 14 per cent of the total FDI in the country. With 51 per cent labour force and 13.11 banks per 100,000 people, the state has a good record on institutional economy. Almost 95 per cent of the state&rsquo;s 60 million population is above the poverty line.</p><p>Gujarat could maintain its nearly 10 per cent growth in Gross State Domestic Product between 2012 and 2017 because of its lead in the petrochemicals and diamond businesses. The state accou&shy;nts for 62 per cent of India&rsquo;s petrochemical production and 72 per cent of the world&rsquo;s share of processed diamonds. With large oil and gas reserves, the state also produces the highest amount of crude oil in India.</p><div class="itemcenter"><amp-iframe height="62" title="" width="320" sandbox="allow-forms allow-scripts allow-same-origin allow-popups allow-top-navigation allow-top-navigation-by-user-activation" allowfullscreen src="https://ancillary-proxy.atarimworker.dev?url=https%3A%2F%2Fakm-img-a-in.tosshub.com%2Fsites%2Findiatoday%2Fbanner%2Fpreferred-source-new.html%3Fv%3D1.014%5Cu0026native%3D1" class="mrBt15 preferred-source-banner"> </amp-iframe></div></p><p>That Gujarat is aiming to become a new financial hub is evident in the fact that 13 banks, 19 insurance companies and two international exchanges have started operations in its GIFT (Gujarat International Finance Tec) City. The financial centre conducted trading worth approximately $60 billion in 2019-20.</p><p>The state government&rsquo;s decision to sanction around 2,600 MSME units is likely to boost the economy in the current fiscal. It has also managed to maintain fiscal discipline. Gujarat had sur&shy;plus revenue of Rs 3,212 crore and Rs 1,142 crore in 2018-19 and 2019-20 respectively. An impressive fiscal deficit of 1.63 per cent in 2019-20 and debt of 15.72 per cent of the GSDP indicate the state&rsquo;s expenditure is well within its financial limits.</p><p>Services, though, is one area where Gujarat lags behind. The sector contributed 37 per cent to the gross value added in 2019-20, far less than its competitors, Maharashtra and Karnataka. This may prove to be a hurdle in Chief Minister Vijay Rupani&rsquo;s dream of 22 per cent GSDP growth by 2022.</p><div id="tab-link-wrapper-plugin"><div class="authors__container"><div class="authors__by"><div class="authlable">Published By: </div><div class="authdetaisl">Iram Ara Ibrahim</div></div><div class="published__on"><div class="authlable">Published On: </div><div class="authdetaisl">Nov 27, 2020</div></div></div><div class="sendros">--- ENDS ---</div></div>

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Cover Story

<p><strong>ECONOMY</strong></p><p>Gujarat is the only state where industry contributes more than 50 per cent to the economy. A sharp focus on industrial development and manufacturing has helped the state earn 40 per cent more per capita income than the national average. The state has kept up the pace of growth in sectors such as textiles, jewellery, ceramics and pharmaceuticals.</p><p>Gujarat received Foreign Direct Investment (FDI) worth $24,012 million in 2019-20, aro&shy;und 14 per cent of the total FDI in the country. With 51 per cent labour force and 13.11 banks per 100,000 people, the state has a good record on institutional economy. Almost 95 per cent of the state&rsquo;s 60 million population is above the poverty line.</p><p>Gujarat could maintain its nearly 10 per cent growth in Gross State Domestic Product between 2012 and 2017 because of its lead in the petrochemicals and diamond businesses. The state accou&shy;nts for 62 per cent of India&rsquo;s petrochemical production and 72 per cent of the world&rsquo;s share of processed diamonds. With large oil and gas reserves, the state also produces the highest amount of crude oil in India.</p><div class="itemcenter"><iframe scrolling="no" allowfullscreen="" frameborder="0" width="100%" height="62" awidth="320" aheight="62" amplayout="fixed" src="https://ancillary-proxy.atarimworker.dev?url=https%3A%2F%2Fakm-img-a-in.tosshub.com%2Fsites%2Findiatoday%2Fbanner%2Fpreferred-source-new.html%3Fv%3D1.014" class="preferred-source-banner" loading="lazy"></iframe></div><style>.preferred-source-banner{  margin-top: 10px; margin-bottom:10px;}</style></p><p>That Gujarat is aiming to become a new financial hub is evident in the fact that 13 banks, 19 insurance companies and two international exchanges have started operations in its GIFT (Gujarat International Finance Tec) City. The financial centre conducted trading worth approximately $60 billion in 2019-20.</p><p>The state government&rsquo;s decision to sanction around 2,600 MSME units is likely to boost the economy in the current fiscal. It has also managed to maintain fiscal discipline. Gujarat had sur&shy;plus revenue of Rs 3,212 crore and Rs 1,142 crore in 2018-19 and 2019-20 respectively. An impressive fiscal deficit of 1.63 per cent in 2019-20 and debt of 15.72 per cent of the GSDP indicate the state&rsquo;s expenditure is well within its financial limits.</p><p>Services, though, is one area where Gujarat lags behind. The sector contributed 37 per cent to the gross value added in 2019-20, far less than its competitors, Maharashtra and Karnataka. This may prove to be a hurdle in Chief Minister Vijay Rupani&rsquo;s dream of 22 per cent GSDP growth by 2022.</p><div id="tab-link-wrapper-plugin"><div class="authors__container"><div class="authors__by"><div class="authlable">Published By: </div><div class="authdetaisl">Iram Ara Ibrahim</div></div><div class="published__on"><div class="authlable">Published On: </div><div class="authdetaisl">Nov 27, 2020</div></div></div><div class="sendros">--- ENDS ---</div></div>

The state has kept up the pace of growth in sectors such as textiles, jewellery, ceramics and pharmaceuticals.

India Today

Gujarat: Engine of growth

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Gujarat: Engine of growth

The state has kept up the pace of growth in sectors such as textiles, jewellery, ceramics and pharmaceuticals.

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