Team Herald
PANJIM: Goa’s economy faced the brunt of the Covid-19 pandemic as the State’s growth stood at a mere 1.31 per cent in 2020-21 as against 9.95 per cent in 2019-20. The State Gross Domestic Product (SGDP) growth rate was way below the 15th Finance Commission’s estimate of 10.90 per cent.
The data released by Comptroller and Auditor General (CAG) reveals that the State moved from a revenue surplus from 2016 to 2019, into a revenue deficit of Rs 325 crore during 2019-20, which increased to Rs 1,653 crore during 2020-21, due to the pandemic. Goa’s agriculture and service sector showed a major decline.
Also, the total outstanding debt of the State Government at the end of March 2021 worked out to Rs 27,310 crore.
“It can be seen that the State’s GDP growth rate declined from 14.39 per cent in 2016-17 to 1.31 per cent in 2020-21. The State’s current year’s growth rate of 1.31 per cent was significantly lower than its growth rate of 9.95 per cent (2019-20) and FC XV estimates of 10.90 per cent (2020-21), due to Covid-19 pandemic. However, the State’s growth rate during 2020-21 was higher than the national GDP,” the CAG said in its report ending March 31, 2021.
The data reveals that the industries sector was the primary driver of the State’s economy during this period and its contribution to the GSDP has increased by more than four per cent in the last five years, from 47.82 per cent in 2016-17 to 52.43 per cent in 2020-21.
On the other hand, the contribution of the Agriculture and Services sector showed a decline during the same period by 2.38 per cent and 2.39 per cent respectively.
CAG pointed out that the transfers from the Centre increased from Rs 917 crore in 2011-12 to Rs 3,386 crore in 2020-21. At the same time, the State’s share in Central taxes decreased by Rs 184 crore and grants from the Centre decreased by Rs 290 crore in 2020-21, over the previous year.
“During 2020-21, the overall debt increased by Rs 3,967 crore as compared to the previous year; mainly due to increase in market borrowings, that is Rs 3,054 crore. The overall debt-GSDP ratio sharply increased from 26.71 per cent in 2016-17 to 31.51 per cent in 2020-21,” said the CAG.
