Meeting of Western Zonal Council discussed contribution of Western Region in India’s Economic Growth | Current Affairs | Vision IAS
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Meeting of Western Zonal Council discussed contribution of Western Region in India’s Economic Growth

Posted 25 Feb 2025

2 min read

Western Zonal Council is one of the five zonal councils set up under the States Re-organisation Act, 1956 and comprises the states of Goa, Gujarat, Maharashtra and UT of Dadra & Nagar Haveli and Daman & Diu.

Contribution of Western Region

  • It contributes 25% to India’s GDP, falling only behind the Southern region which contributes around 30%.
    • Northern, Central and Eastern Region accounts for around 18.5%, 13.6% and 12.5% respectively to India’s GDP, highlighting regional disparity
  • It accounts for more than half of India’s trade with the world and acts as a gateway to Northern and Central regions for global trade. 

Factors responsible for Regional Disparity

  • Historical: British policies favoured resource-rich areas (like Kolkata, Mumbai and Chennai).
  • Geographical: Uneven growth due to availability of resources like ports, raw materials etc. in some regions while difficult terrain (e.g. Himalayan and North-Eastern states) and disaster-risk in others.
  • Economic: Inadequacy of basic infrastructure like transport, power, technology etc. and dominance of primary economic activities in some states.
  • Governance: Industries prefer developed states having efficient governance systems and policy continuity.

Strategies to eliminate regional disparities

  • Aspirational Districts Programme (ADP): It aims to quickly transform 112 most under-developed districts across the country.
    • Aspirational Block Programme (ABP) on lines of ADP. 
  • Infrastructure development through PM Gati Shakti National Master Plan, Bharatmala, Sagarmala etc. 
  • Promotion of Cooperative and Competitive Federalism through NITI Aayog
  • Development Funds to State Governments in the form of Loans linked to reforms and Special Assistance to States for Capital Investment.
  • Tags :
  • Regional Disparity
  • Regionalization
  • Inclusive Growth
  • Equitable Development
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