In accordance with the 4th edition of report by credit rating agency Brickwork, Maharashtra is the biggest economy within India at Rs 16.87 lakh crore in terms of gross state domestic product (GSDP). The rating agency looked at the State government’s willingness and ability to honour debt obligations.
- Maharashtra’s GSDP has grown by 69% for the financial year ended March 31, 2015 and is followed by Tamil Nadu and Uttar Pradesh.
- The state earns approximately 70% of its total receipts through tax revenues which is the highest among the bigger states and is followed by Gujarat and Tamil Nadu.
Rating criterion
It includes an analysis of political, economic, budgetary, financial and institutional parameters that were considered relevant to the Maharashtra government’s creditworthiness.
Manufacturing sector
Gujarat and Maharashtra led this sector with 27.26% and 25.18% of GSDP respectively in 2014-15.
- Other states with higher manufacturing sector share were Tamil Nadu (19.1 %), Jharkhand (18.8%) and Haryana (18.1%).
Services sector
Karnataka leads in the growth of services sector due to the growth in the IT/BPO/ KPO sector followed by Tamil Nadu, Maharashtra and Andhra Pradesh.
Agriculture sector
Agriculture has been the mainstay of most states by employing 40-60% of the workforce directly or indirectly but it has been neglected sector.
National level
India’s GDP growth rate at 7.3% in 2015 exceeded that of China which grew at 6.9%.
- The fastest-growing states were Bihar at 17.06%, Madhya Pradesh (16.86%) and Goa (16.43%) while Telangana (5.3%), Punjab (10.16%) and Rajasthan (11%) have shown a slow progress.
- Maharashtra along with Karnataka has also been able to keep the expenditure on general services under check.
- Bihar, Orissa, Tamil Nadu and Kerala spend the most on pensions.
- Maharashtra’s infant mortality rate (IMR) of 25 is below the national average for all states, which stands at 50.
