Chhattisgarh Aims to Double GDP to Rs 10 Lakh Cr in 5 Years

Raipur, Mar 16 (PTI) Chhattisgarh plans to double the state's gross domestic product (GSDP) to Rs 10 lakh crore in five years, combining the state's rich resources with progressive policies to bolster economic growth and development, its finance minister O P Choudhary said.

The state's new industrial policy that incentivised employment creation has already drawn investment commitments of more than Rs 1 lakh crore in the last 15 months, he said.

Semiconductors manufacturing, data centres, IT services, pharmaceuticals as well as medical tourism are the focus areas, he said.

The power surplus state is also eyeing renewable energy, particularly solar, as it has abundant sunlight through the year, the minister said, adding that a few opportunities in hydel power are also being explored.

"We have a focus on clean energy. We have a focus on sustainability. Sustainable development will sustain in the long term," he said.

While it looks at boosting manufacturing, the state is tapping other areas such as ayurveda and medical tourism as well as using its vast natural resources as a draw for tourism.

"We want to develop Raipur as a wedding destination. Our secondary sector is already very strong. We are focusing on the tertiary sector and the labour-intensive sector so that we can give employment to our youth."

The state is focusing on infrastructure development, urban transport modernisation, digital connectivity and education and skill development to pivot a path to economic progress.

Aligned with the vision of making India a developed nation by 2047, no state should lag behind in the race for development, he said.

"As a state government, we have to worry about this. And it is our duty to contribute to the development of the country. And when the country becomes a developed nation, Chhattisgarh should not lag behind. The 3 crore people of this state should not lag behind," he said.

Chhattisgarh has prepared a vision document to become a developed state by 2047.

In the medium term, "we have set a very important goal of doubling the GDP of Chhattisgarh to Rs 10 lakh crore within 5 years," he said.

"For that, including inflation, we need a growth rate of 14 per cent. This is a very important goal. But I am confident that we will be able to do this. It is a very ambitious target."

The state government led by Chief Minister Vishnudeo Sai feels creating a skilled human resource base is important and is linking education with vocational skills and training to equip students with employable skills.

This month, P Choudhary presented the Chhattisgarh government's Budget for the fiscal year 2025-26, totalling Rs 1.65 lakh crore, with a focus on economic revival, infrastructure development, and social welfare.

While last year's Budget focused on theme GYAN (Gareeb, Yuva, Annadata & Nari), this year's Budget aims to drive progress in the state under the theme of GYAN ke liye 'GATI' to build on the progress made so far, he said discussing the focus of this year's budget.

"In GATI, G stands for good governance, A for accelerating infrastructure, T for technology and I for industrial growth," he said.

Last year's Budget centred around inclusive development. But for inclusive growth, economic development is equally important, he said.

With enhanced allocations, the budget aims to boost infrastructure, industrial development, and regional connectivity, creating an environment that attracts both public and private investments.

The bureaucrat-turned-politician said improving tax through governance is his government's first strategy.

"Secondly, I have talked about speed in this budget. We will focus on infrastructure and industrial growth and ensure rapid economic growth. When there is economic growth, the revenue collection will increase automatically," he said. "So, governance and economic growth, these two pillars are our focus."

At the same time, the state government is working aggressively on social welfare schemes, targeted at women, tribals and the underprivileged.

"Alongside, to ensure rapid economic growth, we are focusing on infrastructure and industrial growth," he said, adding that his budget is targeting a 18 per cent growth in infrastructure spending on roads, irrigation projects and such other areas with a multiplier effect.

"We want to develop 1 lakh hectare of agricultural land," he said, pointing out that the state has also introduced a new industrial policy. "We have increased the industry subsidy by 3 times".

Choudhary said the state government is targeting to complete a survey on Chhattisgarh's first metro rail project this year.

Besides, it is looking to boost air connectivity with airports and aerodromes at major cities of the state.

On its rich mineral resources, he said the state government stands for sustainable and environment-friendly exploitation of resources while ensuring proper rehabilitation of those affected by the mining activities.

Besides coal and iron ore, the state is blessed with critical minerals like lithium which is very important for EVs, he said.

"We are also focusing on diversification. We are focusing on labour-intensive manufacturing such as textiles, semiconductors, data processing, data centres, pharmaceuticals and medical facilities. We have a clear vision for industrial development," he said.

Asked what Chhattisgarh was doing to make it an easier place to do business and attract investments, he said the state's strategy for rapid economic growth is based on good governance. "Our first focus is to give people governance. A subsidy cannot attract an investor as much as governance".

"Subsidy is equally important, but at the same time, governance is much more important. That is why our government is focusing on ease of doing business. It is focusing on process simplification, and trying to reduce the compliance burden," he said, adding that unnecessary rules and regulations are being abolished.

"We have introduced a new industrial policy that offers a competitive business environment to investors," he said.

"We have given a special focus to the new sunrise sectors. We have focused on the less developed areas and provided special subsidies. The most important point is that the subsidies that were given earlier were based on the amount of investment. If you invest more than Rs 1,000 crore, you will get a particular amount of subsidy. In the new industrial policy, we have changed the whole philosophy. The subsidies are not based on the amount of investment. They are based on employment creation."

An industry creating employment for say 1,000 people gets a particular amount of subsidy, he said.

On the progress it has made in 25 years of its creation, Choudhary said Chhattisgarh was part of Madhya Pradesh when the state was created in 1956. But it was ignored in the 4-5 decades.

"Our areas like Bastar were bigger than Kerala. But till 1998, it was a single district. If an area that is bigger than Kerala is governed as one district, what administration and welfare could it have," he said.

Some areas, he said, were ignored, "North-South connectivity was very poor. 44 per cent of the area was forest, so there were a lot of problems and there was also political ignorance."

"But our 25-year journey after the establishment of the state has been very important. There used to be one medical college in Raigarh when I was in 12th standard, now we have over 14. Our state's GDP used to be Rs 21,000 crore but now it is around Rs 6 lakh crore," he said.