SWOT Analysis Of Bimaru States On Various Parameters Economics Essay

The word BIMARU has been taken from a Hindi word “ Bimar ” , which depicts sick. The word BIMARU had been framed by an Economic analyst, Ashish Bose in the mid of 1980 ‘s who had taken the first missive of Indian provinces viz. Bihar, Madhya Pradesh, Rajasthan and Uttar Pradesh.

These provinces seen a batch of alterations in geographical composings excessively as during 2000, Bihar was divided into Bihar and Jharkhand, Madhya Pradesh was divided into Chhattisgarh and Madhya Pradesh and Uttar Pradesh was divided into Uttarkhand and Uttar Pradesh. The division besides led to close the door of growing as these smaller provinces do n’t hold the strong point to inquire for the financess from the authorities for its development.

State Domestic Product ( SDP )

It would be surprised to cognize that merely 21 % instructors in Bihar are tenth base on balls. Harmonizing to me, this fact is adequate to demo the educational background of Bihar and other BIMARU provinces. There is a deficiency of instruction and qualified instructors in BIMARU provinces.

Most of the toppers and superb pupils of BIMARU provinces had to prosecute their higher surveies and profession classs from other provinces as instruction system of BIMARU province was excessively weak or we can state that instruction system was merely at that place for the name intent.

Alternatively of rise in the Bihar ‘s domestic merchandise, the province experiences the decline about 1 % during the twelvemonth 1990-91 and 2002-03. During these periods, the growing rate of India was 5.4 % per annum, but unluckily the SDP rate of BIMARU provinces were out of expectations.SDP of Madhya Pradesh was 0.4 % merely, Uttar Pradesh was 2.1 % merely and SDP of Rajasthan was about 3.5 % .The growing rate of BIMARU provinces were merely 1.7 % per annum.

Most of the industries and Head Quarter of assorted companies and houses were shifted to other topographic points from BIMARU provinces which closed the door for the development of these provinces.

e.g. ; Bihar is known for Agrarian province. The PUSA institute constructed by the American Philanthropist Philips in a territory named “ Samstipur ” in 1905 was shifted to New Delhi.

The Head Quarter of coal India ltd. Which was earlier established in West Bengal was shifted to Steel Authority of India at New Delhi.

During 1990- 91, the mean economic growing of BIMARU provinces were lifting at 4.6 % when compared to other Indian provinces whose economic system was lifting at 6.5 % .

During 1997-98, the per capita cyberspace province domestic merchandises ( NSDP ) of BIMARU provinces have the lowest rate of NSDP when compared to other Indian provinces.

Manufacturing sector in BIMARU provinces are really hapless as harmonizing to the informations of 2002-07, the mean growing rate of BIMARU provinces was merely 0.38 % when compared to the remainder of Indian provinces as a whole i.e. ; 7.8 % . The mean growing in agribusiness sector was 35 % , industrial sector was 9 % and service raised around 55 % .

Merely 16 % of province ‘s GDP is at that place from agricultural sector, but still agriculture sector provides more than 70 % employment to the local people. The chief ground behind this is the deficiency of instruction, as the bulk of the population of BIMARU provinces is uneducated. The 11th program has been predicted 2.6 % growings in the province agricultural GDP which is higher than the 9th program and 10th program that were -1.14 % in 9th program and 0.96 % in 10th program severally.

There was an influential addition in the BIMARU province ‘s agricultural GDP around 31 % in 2006-07 and 11.32 % in the twelvemonth 2008-09, but this growing buzzword helped the BIMARU provinces to increase their economic growing rate. Still, the bulk of hapless people is in Bihar which was around 38 million in 1993-94 and has increased to about 43 million in 2010-11.

During 2002-07 the BIMARU provinces experiences a better place in there SDP rates. The growing rate of Rajasthan SDP ‘s was about 12 % per annum. The SDP growing rate of other BIMARU provinces were 11 % for Orissa, 6.5 % for Uttar Pradesh and 10 % for Madhya Pradesh. The most bottom graded province, Bihar besides experienced a great mark of betterment in most of the sectors during 2005. Bihar seen great alterations in itself in footings of SDP rate, substructure, plans and schemes formulated by the new authorities etc. The economic system growing rate of Bihar changed to positive and been rewarded the fastest turning Indian province with the growing rate of 11 % per annum during 2006-07 and 2007-2008.

The survey conducted by Harvard University during the twelvemonth 2001 depicts that there is merely 10 % urbanisation in BIMARU provinces when compared to the provinces like Karnataka and Maharashtra where urbanisation is more than 40 % . This survey besides reveals the criterion of life among the local people of BIMARU provinces.

Among the BIMARU provinces, most of the provinces had raised their economic growing and State Domestic Product ( SDP ) , but harmonizing to my analysis Bihar and Uttar Pradesh have to work hard in the field of jurisprudence.

Political administration

During 1980-85, the pupils used to transport handguns to colleges and schools. There were no regulations, ordinance and Torahs empowered by the authorities of these provinces. The constabulary adult male used to smooth the places of the main curate and the whole household of main curate. Everywhere at that place used to be force. The people of the governing party shoots the member of resistance party in the diaphanous manner and no 1 is at that place to raise the voice in the tribunal. The informant were besides harassed and killed, if they raise or open their oral cavity in forepart of any high functionaries.

Political battles and the deficiency of planning and way for the economic growing due to political war do n’t assist these provinces to heighten their economic growing and these factors adversely affect the BIMARU provinces and led to deprecate in the growing rate.

The per capita ingestion of electricity in BIMARU provinces is less than half of the ingestion as compared to developed provinces harmonizing to the Planning Commission. The authorities of backward provinces does n’t take the measure in the development of the local population. Government should make employment chances by edifice and spread outing roads, telecom, irrigation installations, agricultural extension services etc.

Corruptness, the female parent of Black Money is the biggest hurdle for the development of BIMARU provinces as the fund dispatched by the cardinal authorities to the province authorities supports on worsening in each and every procedure as the authorities functionaries were more interested in doing their pocket heavy as compared to the development of the provinces.

Human Development Index ( HDI )

There is a low rate of HDI in BIMARU provinces is due to assorted grounds like the hapless loaning ability by the Bankss and other fiscal establishments as the people of these provinces does n’t hold adequate money to prosecute good quality instruction due to miss of employment chances.

BIMARU provinces have the capita income of less than Rs. 25 per twenty-four hours. The factors like wellness attention, instruction, H2O supply, deficiency of population control measures, unjust Torahs and order continue to adversely impact the economic system growing of these provinces.

One major point to be noted that life anticipation and literacy rate in backward provinces are excessively low and birth rate, decease rate and wellness related issue is excessively high in backward provinces. The ground behind this point is deficiency of instruction as the people do n’t hold sufficient cognition to undertake with the job.

The hold in finalising the Below Poverty Line ( BPL ) by the other Indian provinces besides led to the diminution in HDI.

The authorities of these provinces had n’t taken measure to prosecute the local people in their planning procedure which excessively is the ground for low Human Development Index. The mean literacy rate of BIMARU provinces is about 50 % , holding BIHAR at the bottom i.e: 47 % merely. In most of the tabular arraies like literacy rate, sex ratio, economic growing etc, the BIMARU provinces are ever at the underside and ranks last in Human Development Index ( HDI ) .

One of the chief grounds for the low Human Development Index of BIMARU provinces was pointed by the Standing Committee on Rural Development was the “ Under Use ” of the financess provided by the cardinal authorities to the province authorities.

SEZ policy ( Particular Economic Zone Policy )

The economic system of BIMARU is agricultural in nature as bulk of the population is dependent upon the agricultural sector. Over the past few old ages, economic system of Bihar is quickly increasing as there is addition in building, trade, eating house and hotel sectors. The gross province domestic merchandise in building sector is quickly increased from 6.7 % during 2005-06 to 9.7 % in 2010-11.

Approximately 50 % of the entire population of Bihar lay Below Poverty Line ( BPL ) . But, there are assorted stairss taken by the authorities to pull the investors like substructure development of the province, authorities is set uping NRI meeting etc. these factor would assist to better the investing scenario in province.

Analysis

The jobs or the hurdlings faced by the BIMARU provinces can be solved by enticing the toppers and superb individuals to work in their ain provinces merely and would assist the provinces in heightening the SDP rate. In most of the Indian provinces “ Son Complex ” myth is at that place. The Deep -rooted, Son Complex myth in the society of BIMARU provinces adversely affect the sex-ratio of the provinces and assorted illegal activities takes topographic point due to this factor.

Harmonizing to my analysis, if any of the provinces of the state is turning at a really slow growing rate like Bihar, Uttar Pradesh and so on, it will adversely impact the overall development of the state in assorted countries like instruction, wellness, substructure and other public utilities. Assorted indexes like wellness index, GDP index, Educational Development Index will travel down every bit harmonizing to the informations, BIMARU provinces are backward provinces of the state particularly Bihar in footings of instruction.

Harmonizing to the United Nation Development Program me ( UNDP ) , India ranks 132nd place in human development. But when we compare merely the HDI of developed provinces with the other states, so India will stand between 60th to 100th ranks. Because of the retardation and under development of some Indian provinces, the rank of India has gone to 132nd.

Harmonizing to my analysis, Bihar is the better province for investing due to following grounds: –

Per capita income of Bihar is expected to go thrice by the twelvemonth 2020.

Drastic addition in the Bihar ‘s GSDP as there is a great motion in SDP from 6.7 % to 9.7 % from 2005 to 2010.

GSDP of Bihar is expected to increase about 12 % during the fiscal twelvemonth 2011-20

Great betterment in the investing in assorted sectors.

High rate of return, if investing made in route, irrigation and power sector.