West Bengal among 12 states with significant potential for reform-led development: Economic Survey

Kolkata, Jan 31 (PTI) The Economic Survey presented in Parliament on Friday has categorised West Bengal as one of the 12 states with significant potential for reform-led development.

The report has segregated states into four categories based on their services and industrial performance in terms of per capita Gross State Value Added (GSVA).

"While business reforms are necessary across states, the fourth category specifically includes states with significant potential for reform-led development. These states are Arunachal Pradesh, Bihar, Chhattisgarh, Jharkhand, Madhya Pradesh, Manipur, Meghalaya, Nagaland, Rajasthan, Tripura, Uttar Pradesh, and West Bengal," the survey report said.

West Bengal ranked sixth in the state-wise share in services GSVA at constant prices for FY23.

The report states that West Bengal has a substantial presence of 6.5 crore unincorporated sector enterprises, with 72.6 per cent operating in the service sector.

"Although these enterprises contribute to the economy, they miss out on benefits like tax benefits, credibility, and access to credit due to their unincorporated status, " it said.

The unincorporated sector comprises small-scale, informal enterprises operating without formal corporate registration, including household units and own-account enterprises.

The survey suggests that the state government can accelerate the incorporation of these enterprises through policy nudges that reduce compliance difficulties, driving growth in the service sector and contributing to the state's overall development. PTI BSM SBN SBN

Source: PTI