Ten budgets later, ‘model’ Gujarat still seeks ‘viksit’ tag

₹22,95,885 crores spent in 10 years still underdeveloped Gujarat targets for 2047

Updated: Feb 5th, 2024

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Throughout the ₹3,32,465 crore budget for  2024-25 presented by the state finance minister Kanu Desai on Feb 2, one word was repeatedly used, ‘Viksit Gujarat@2047’. 

However, the ambition contradicts with the other Gujarat government’s beloved term, ‘Gujarat Model’,  projected by prime minister Narendra Modi before the 2014 Lok Sabha elections  for the development of Gujarat in all sectors from agriculture to industry, drinking water to infrastructural facilities, education to employment, transport to tourism.  

From 2014 to 2024, 10 budgets worth ₹22,95,000 crore have been announced for the development of the state.

The state, projected as a ‘model’, aims to be ‘viksit’ (developed) by 2047.

What is Viksit Gujarat@2047?

Viksit Gujarat@2047 is aimed at living well– ensuring universal access to essentials and best-in-class facilities, health care for all, and good earning. Growing the economy means increasing the prosperity of every citizen, nutrition, education and skills, arts, culture and sports, women lead development.

If the Gujarat model is aimed at these targets, why hasn't the state become fully developed over the past decade? This raises questions about the effectiveness of the development model in achieving its intended goals.

Even today, with Viksit Gujarat@2047 as the current target, the state government claims that Gujarat is the country’s growth engine, contributing significantly to the national GDP from 5.1% in 2000-2001 to 8.2% in 2022-23. However, the crucial question remains: why do many people in the state still experience a lack of development despite the overall progress of the state?

Free food grains to 72 lakh families if though per capita income is ₹2,73,558:

The state government claims that Gujarat’s per capita income is about 1.6 times higher than the national per capita income. The per capita income of Gujarat in 2000-01 was ₹18,392, which increased to ₹2,73,558 in 2022-23. 

Meanwhile, within the state, the government has distributed 68 lakh metric tonnes of free food grains to 72 lakh families over the past four years through the Pradhan Mantri Garib Kalyan Anna Yojana. This implies that, even with a per capita income of ₹2,73,558 in the state, around 50% of the population is benefiting from this assistance. Why was a situation like this of giving free food grains to more people created?

Growth with Debt

15.34% of the total budget of the state will be reimbursed as public debt. As far as the country is concerned, among the states that saw their debt pile increase during the last financial year was Gujarat, which had a debt amount of ₹4, 23,711 crore. In 2004-05, the public debt of Gujarat was ₹71,083 crore which has now increased to ₹4,26,380 crore.

In the year 

2014-15: ₹1,22,466 crore

2015-16: ₹1,39,139 crore

2016-17: ₹1,51,852 crore

2017-18: ₹1,72,179 crore

2018-19: ₹1,83,666 crore

2019-20: ₹2,04,815 crore

2020-21: ₹2,17,287 crore

2021-22: ₹2,27,029 crore

2022-23: ₹2,43,965 crore

2023-24: ₹3,01,022 crore

2024-25: ₹3,32,465 crore

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