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Exercises · Q11

Q.Explain the role of the state government in the economic development of Maharashtra.

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The state government is an active agent in Maharashtra's economy, not a bystander. Its main roles are:

  1. Building infrastructure. Developing economic infrastructure (roads, ports, power, irrigation) and social infrastructure (education, health) that underpin every sector.
  2. Running key institutions. Operating the MIDC to develop industrial estates and attract investment, and supporting the vast co-operative framework (sugar, dairy, credit, marketing) that drives the rural economy.
  3. Promoting sectors. Framing industrial policy to keep the state the top investment destination, and promoting IT/ITES, tourism and agro-processing as sources of income and jobs.
  4. Supporting agriculture. Expanding irrigation and micro-irrigation, providing farm credit and crop insurance, and strengthening co-operative marketing to help a monsoon-dependent, distress-prone farm sector.
  5. Delivering welfare and human development. Running education, health, food-security and welfare programmes that build human capital and support the poor.
  6. Reducing regional imbalance. Above all, steering development towards the backward regions — through the Article 371(2) statutory development boards (Vidarbha, Marathwada, Rest of Maharashtra), backlog-based planned spending, and special industrial and irrigation packages for Vidarbha and Marathwada. …

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