The Telangana region is not as economically backward sans Hyderabad as many might believe. While it is undeniable that the inclusion of Hyderabad for economic accounting does considerably improve the Telangana fortune, the region has remained strong on several economic front over the last several decades.
The Telangana not in so poor: Srikrishna committee report while analysing the per capita income of the three regions – Telangana, coastal Andhra and Rayalseema – found that Telangana even sans Hyderabad had per capita income higher than Rayalseema at 2007 – 08 prices. Telangana’s per capita income minus Hyderabad was Rs 33,771 while Rayalseema stood at Rs 33,056. Coastal Andhra was the highest at Rs 36,496.
Noting that during 2000 – 2001 and again in 2007 – 2008, the whole of Andhra Pradesh witnessed an average per capital income growth of 58 per cent, the committee found that after Hyderabad which experienced 77 per cent growth, Telangana sans Hyderabad had the highest growth rate at 60 per cent. This given that almost all infra-structure development and investment in the state had been concentrated in Hyderabad. Rayalaseema and coastal Andhra had growth rates of 58 and 54 per cent respectively.
“It can be clearly observed that Telangana region has experienced unprecedented growth from 1993-94 onwards, a period for which the District Domestic Product are extracted; and also note that the absolute levels of income between regions do not differ much from a national perspective. This has happened in spite of the fact that the per capita DDP in Telangana excluding Hyderabad had lowest base levels, yet in recent years it occupies a position higher than Rayalaseema and lower than coastal Andhra,” the Srikrishna committee report said.
Summarising a review of the source of income according to economic sectors – agricultural, manufacturing and services – the committee said, “the sectoral GDDP growth in Telangana has drawn a relative advantage in income generation both from industrial and services sectors compared to two other regions.”
The committee’s report said “In fact, it is the Telangana region excluding Hyderabad which has better income generation from the industrial sector (30 per cent) and possibly better employment as well and these have improved over time for better. Hyderabad, as expected, draws most (82 per cent of its income from services followed by the industrial sector.”