Mumbai, March 18: The Maharashtra government has shown a very positive response to the economy, despite two severe droughts that have sounded alarm in the farm sector. In fact, the state has projected an 8% growth rate in 2015-2016.
According to the Economic Survey Report (ESR) 2015-2016, the real gross state domestic product (GSDP) at constant market prices will be Rs 16,47,045 crore, which would be up by 8% over 2014-2015.
However, what worries the Fadnavis government is the depreciating. The negative growth projections for the agriculture sector impacts the livelihood of nearly 52% of the state's population.
Revealing that Maharashtra is facing the third agricultural crisis in four years, the ESR said,"The erratic rainfall with long dry spells during the monsoon season hampered the crop sector, plummeting the growth to minus 5.3 per cent over the previous year. Overall, the agriculture and allies activities sector (that includes crops, livestock, forestry, and fishing) is expected to decline by 2.7 per cent over 2014-15."
Despite the positive economic growth, BJP has reasons to worry since it had promised a double-digit positive growth in agriculture in the first year after coming to power.
However, what saves the face is the fact that there has been a quantum jump within the services sector like the financial, real estate and professional services segments.