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Economic Survey 1. Economic Survey 2020-21 Economy of Bihar : An Overview According to recent estimates, Bihar Gross State Domestic Product (GSDP) grew by 10.5% in 2019-20 as compared to 4.2% in Indian economy. This commendable growth of Bihar's economy was recorded in 2018-19. The development process that started in Bihar a little over a decade ago is still going on. In recent years, Bihar has attracted attention for its remarkable progress on the development front throughout the country, even abroad. The growth rate of Bihar's real gross state domestic production was 10.5% in 2019-20, which is higher than the growth rate of Indian economy. The growth rate of Primary Sector of Bihar was 3.6%, which is slightly less than the rate of 3.9% for the whole of India. But for both the Secondary and Tertiary sectors, Bihar's growth rates are significantly higher than overall India. It should also be underlined that the state government has managed its finances wisely in the recent period. Especially Bihar has strictly followed the provisions Fiscal Responsibility and Budget Management Act. However, it is important to note that the current trend of development of the economy of Bihar in 2020-21 due to the Covid-19 pandemic is uncertain. Socio-economic Returns of the State: - The population of a state plays very significant and important role in determining its development outcomes. According to the 2011 census, Bihar had a population of 10.41 crore which was 8.6 percent of the total population of India. About 90% population of the state lives in rural areas. This has all the implications for development. 1
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