Kerala's economy, which sharply declined in the aftermath of COVID-19 pandemic, registered the fastest growth in the fiscal 2021-22 with the Gross State Domestic Product (GSDP) at constant prices recording a robust growth of 12.01 per cent. This is the highest growth recorded since 2012-13 and derives its strength from the stimulus packages, said the Kerala Economic Review 2022. The figure was -8.43 per cent in the 2020-21 fiscal.
The Kerala Economic Review 2022, tabled in the state Legislative Assembly on Thursday, February 2, by Finance Minister KN Balagopal, said the growth of the Indian economy for the corresponding period in 2021-22 was 8.7%. “Stimulus packages along with other proactive policy interventions of the state government augmented growth at a time when economic activities were severely constrained,” the report said.
According to the Economic Review, the sectoral composition of GSDP reveals positive developments across sectors. “Primary, secondary and tertiary sectors grew by 4.16%, 3.9 % and 17.3 % respectively in 2021-22 over 2020-21,” the report said. This is significant in the light of the fact that in the preceding years the sectors recorded negative growth.
The Economic Review was tabled ahead of the presentation of the 2023-24 state budget by the minister on Friday, February 3. Growth of agriculture and allied activities increased from 0.24% in 2020-21 to 4.64% in 2021-22. This is again higher than the 3% growth in 2021-22 recorded at the national level.
> Industry sector grew by 3.9 % in 2021-22 compared to (-) 2.82 % in 2020-21.
> Service sector posted a robust growth rate of 17.3 % in 2021-22 as against the (-) 14.44 % in 2020-21.
> The Cash Deposit ratio of public sector banks in Kerala increased to 65.85 % in March 2022 from 64.74% in March 2021.
> Revenue Deficit as a percentage to GSDP for 2021-22 is 2.29% as against 2.51% in 2020-21.
> Fiscal Deficit as a percentage to GSDP improved to 4.11% in 2021-22 from 4.57% in 2020-21.
> The growth rate of the state's own tax revenue in 2021-22 was 22.41%. The high growth rate is mainly because of the growth in GST, sales tax and VAT (Value Added Tax).
> Outstanding public debt of the state at the end of 2021-22 was Rs 219,974.54 crore. The annual growth rate of public debt decreased to 10.16% in 2021-22 from 14.34% in 2020-21. The public debt – GSDP ratio decreased to 24.26% in 2021-22 from 25.90 % in 2020-21.
> The total outstanding liabilities of the state is at 37% in 2021-22, which was 37.13% in 2020-21.
> The capital expenditure of the state in 2021-22 was ₹17,046.02 crore and in 2020-21 it was ₹15,438.16 crore.
> The total number of job seekers as on July, 2022 is 28.4 lakh while it was 34.9 lakh in December 31, 2015.
During the financial year 2021-22, PSUs (Public Sector Undertakings) reported a turnover of ₹3,892.14 crore, with an operating profit of ₹386.03 crore. The turnover has increased by 17.8% compared to the previous year.
“The government commenced one lakh new enterprises within a remarkable period of 250 days from April 1 to December 7, 2022. An investment of ₹6,274 crore was generated from the endeavor which also created 2, 20,285 new employment opportunities. Around one-third of these newly formed enterprises are promoted by women entrepreneurs, the Review said.
According to the Review, as many as 8,16,929 new students sought admission in government and aided schools in the last five years.