Hyderabad: The economic growth in Telangana has fallen sharply due to the circumstances created by the ongoing COVID-19 pandemic. In 2020-21, the economic output in the state, measured by Gross State Domestic Product (GSDP), fell by 1.26 per cent according to an annual report presented by the Industries and Commerce Department, Government of Telangana.

Notwithstanding these numbers, Telangana's share of national nominal GDP has increased significantly from 4.76 per cent in 2019-20 to 5 per cent in 2020-21. In India, the second advance estimates released by the Ministry of Statistics and Program Implementation (MoSPI) revealed that the national economic output, measured by Gross Domestic Product (GDP), shrunk by 7.3 percent in 2020-21.

The state's performance numbers were released by Telangana IT and Industries minister K.T. Rama Rao, who shared the data while launching the annual industries department's annual report on Thursday.

The per capita income in the state continues to be higher than the national average at 1.78 times. The labour force participation in Telangana at 55.1% is higher than the national average of 50.2%. The female participation is significantly higher for Telangana at 38.3% compared to national guru of 24.5%.

Due to its high growth rate, the agriculture and allied sector contributed a higher share of 20.6 per cent to overall GSDP than in any year since state's formation. However, at an aggregate level, the services sector continues to contribute the highest share at 60.3 per cent. The contribution of industrial sector stood at 19.1 per cent.

In 2020-21, the state also recorded a per-capita income of Rs 2,27,145 compared to the national average of Rs 1,27,768.

During the launch of the annual reports, KTR said that Telangana's TS-iPASS system attracted cumulative investments of Rs 2,14,951 crore, creating 15.6 lakh jobs. "Telangana is ranked third in the Ease of Doing Business (EoDB) rankings for 2019. The TSIIC developed 10 new industrial parks and allotted 810 acres of land to 453 industries with an expected investment of Rs 6,023 crores."

He said that one of the first RT-PCR kits approved by ICMR developed in India were from Hyderabad and since then, a number of companies have developed PCR Kits, Rapid Test Kits, Viral Transport Mediums, Reagents, Tech-based diagnostics solutions, among others.

"First indigenously developed vaccine for COVID-19 is the result of the intense efforts of Bharat Biotech, a Hyderabad-based company. Other companies like Biological E are engaged in various efforts to develop and manufacture COVID-19 vaccine from Hyderabad," said KTR.

He further added that while there was a significant head-count reductions across aviation and aerospace industry in 2020, the Hyderabad ecosystem was spared and the growth continued despite the slowdown. Seen as a reliable and cost-effective ecosystem and a global aviation hub, leading aerospace majors such as Boeing, Safran and others have announced new manufacturing lines in Hyderabad.

Newsmeter Network

An independent digital media platform that brings you credible news stories and Analysis of current affairs as they unfold.

Next Story