Orissa's growth faster than that of India: World Bank.

The World Bank, in its latest report, has pointed out that the State has made remarkable progress, lifting some three million people out of poverty and making the strongest fiscal turnaround of all Indian States during 2000-06.Releasing the forthcoming World Bank study "Orissa in Transition - From Fiscal Turnaround to Rapid and Inclusive Growth" here on Tuesday, Lead Economist of the World Bank VJ Ravishankar said large population of the State, including scheduled castes, has improved incomes since 2002.

He further said that the State today has a US$125 billion portfolio of 470 ongoing investment projects that are projected to generate an additional GSDP of US$ 35 billion. This alone is twice the size of the State's GSDP in 2006. This level of investments suggests that the State may experience a period of even more rapid growth in future.In the study of the World Bank further points out that regional disparities in the State has come down over a period. The younger generation has new ambitions, reflecting new opportunities. The people in the State no more run after Government jobs. Now only one in seven wants career in government services. However, earlier one in two wanted careers in government services. Interestingly, rural poverty is probably declining faster in Orissa since 2000. In rural areas, higher income groups prospered more than lower income groups, but they all prospered during 2000-2006.The economic growth in Orissa is faster than that in India as a hole. This was possible due to the recent growth acceleration in the State in industrial sectors. The State Government's efforts to improve investment climate has yielded the desired results.The cost of doing business in Orissa has declined over time and is now comparable to the rest of India. Household expenditure rose faster in rural areas than in urban areas. Most rapid rural growth has taken place in Southern Orissa, the report says.It has done well in building infrastructure. The number of bridges completed has gone up from 19 in 2004 to 585 in 2005 and over 100 in 2006.

However, the World Bank has expressed concern in the field of education. Though enrollment has risen, learning achievement is very poor. Majority of teenagers do lack basic mathematical knowledge. Students in Orissa test far behind other countries in mathematics.On the social sector, the World Bank points out that the anti-poverty programmes suffer from delivery gaps and leakage of funds to non-poor. Scheduled tribes are not adequately aware of the available programmes for their benefit.World Bank praised the State Government's anti-corruption steps. "We will be soon funding a number of projects in Orissa. We did not stop any funding because of the scam in the health sector," Ravishankar said.
Mahesh Vyas of Centre for Monitoring Indian Economy Pvt Ltd (CMIE) in its report on "Impact of current investment intentions on income and employment in the case of Orissa", said the State is fast changing and it tops the list of States with foreign investments. The additional employment that could be generated in 2013 would be 1.25 million.