Service sector continues to drive Mizoram state’s economy

The State of Mizoram is estimated to achieve an annual economic growth rate of 10.14 per cent during the year 2022-2023 which was estimated at 9.50 per cent during 2020-21 (Actual) and 9.80 per cent for the financial year 2021-22 (provisional). The figure was released in the Economic Survey 2023-2024 laid on the table of the state legislative assembly by Chief Minister Lalduhoma. The Gross State Domestic Product (GSDP) of Mizoram has been continuously growing over the years, however, the rate of growth declined during the pandemic period. Gross State Domestic Product (GSDP) at constant (2011-12) prices which is a true indicator of growth without being influenced by factors such as inflation is expected to attain an amount of Rs. 21,000.56 crore in 2022-2023 against the estimate of Rs.18,493.72 crore, for the year 2021-22, showing a growth of about 13.55 per cent over the previous year, the Economic Survey says.

The Gross State Value Added (GSVA) at constant (2011-12) prices has clocked 10.43 per cent average annual growth rate during financial years 2011-12 to 2022-23 peaking at 14.32 per cent during 2014-15. The total GSDP of the State at current prices is estimated at Rs. 32,829.46 crore in 2022-23 as against Rs 27,823.50 crore in 2021-22, thereby registering an increase of 17.99 per cent over the previous year, the Survey said. The Economic Survey opines that the growth of the three sectors driving the state economy is unhealthy for the economy.

“The continued remarkable contribution of the tertiary or service sector constituting a share of about 45.70 per cent of the total GSVA indicates that this sector continues to drive the economy of Mizoram,” the Survey said. A higher contribution of the industry sector which increased from 25.09 per cent during 2021-22 to 34.15 per cent during 2022-23 indicates marked improvement in the sector. The agriculture and allied sector contributed 20.15 per cent to the total GSVA during 2022-23. The per capita income of Mizoram for the year 2022-23 is projected at Rs. 2,32,126.00 as against the previous year’s estimate of Rs. 1,98,961.92, the Economic Survey said.