Per capita income in Telangana

Per capita income

The per capita income of Telangana was considerably lower than that of combined Andhra Pradesh State during 1960-1968. Even then, diversion of 4.9 per cent of its annual revenues ensured that the tragedy continued till the mid-seventies. Worst was to follow thereafter. Due to the absence of rural peace, the net sown area nosedived from 49.69 lakh hectares in 1973-74 to 36.21 lakh hectares by 1997-98. Lands left fallow multiplied across Telangana territories. With no signifi cant addition in area under fl ow irrigation from tanks and canals, technological gains in agricultural production stagnated as late as till the late eighties. It would appear that Telangana land and its produce stagnated in terms of per capita contribution to its GSDP, all the way from 1956 till 1987.

However, per capita income in Telangana started looking up since the early nineties. It was mainly due to the grit and determination of its peasantry, who started sinking bore wells frenetically with their own investment coupled with risk. Around these times, Hyderabad city started attracting technology-related investments in IT/ITES and biotech areas. The rising per capita income only enhanced the volume of diversion of revenues. From 2003 till 2013, the average annual drain climbed to 11 per cent, more than double the percentage during 1960-68. It would appear that the enhanced Telangana income provided more revenues, which in turn ignited the greed and consequent diversion of its resources under the past dispensation. A detailed analysis of the present macro-economic trends is attempted in the next chapter of this section of the report.

Rising social aspirations coupled with exponential expectations demand an equally responsive governmental organisation. District administration, needless to say, is the cutting edge where implementation starts. It is like a mega-junction from where fi nal public delivery is controlled. The sustained democratic process has enhanced mass expectations, but the fossilised district set-up had become a bottleneck. A look at the historical facts may be in order, in this connection. In 1865, Sir Mir Turab Ali Khan, Salar Jung I, initiated administrative reforms by establishing, through zila bandi, 16 districts in Hyderabad State, of which eight were a part of Telangana. Then the average area per district was 13,880 sq km, with an average population of 6.92 lakh. But in spite of population growth, the number of districts remained just 10 till recently, with an average area of 11,208 sq km and an average population of 35.1 lakh per district. Only two new districts, viz., Khammam (in 1953) and Ranga Reddy (in 1978) were added in the recent past

Learning from the rich administrative legacy of the Nizam’s period, the Government restructured the state into 31 districts, after an elaborate and extensive consultation process at different levels. The average size of a district now is a compact 3,608 sq km, with an average population of 10.3 lakh per district. The compact size is bound to sharpen the edge of district administration, with smooth delivery of all public services to all the families. In turn, anyone can reach the new district headquarters well within an hour. Due to the enhanced and easy interaction, these new districts have the potential to evolve as future growth centres. A detailed analysis of the district reorganisation process is included in the next section of the report.

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