For 2nd year in row, U.P. tops in getting bank funds for projects

Uttar Pradesh maintains its lead in approved projects by banking and financial institutions, with a 16.2% share in 2022-23. The state's growth has been consistent under Chief Minister Yogi Adityanath, while other states have experienced fluctuations and declines.

Uttar Pradesh continues to lead the charts in the total share of approved projects by banking and financial institutions, according to the August 2023 bulletin of the Reserve Bank of India. The state had a share of 16.2% in 2022-23, maintaining its number one position for the second consecutive year, said a government statement.

The statement said the figures presented in the RBI bulletin indicated that under the leadership of Yogi Adityanath, Uttar Pradesh has not only gained the trust of investors but also of national banks and financial institutions. (File)

The statement said the figures presented in the RBI bulletin indicated that under the leadership of Yogi Adityanath, Uttar Pradesh has not only gained the trust of investors but also of national banks and financial institutions.

“The bulletin not only validates Chief Minister Yogi Adityanath’s arguments about the state government’s mission of making the state a one-trillion-dollar economy but also provides a strong response to critics,” the statement added.

Growth of 12% in 2 years

From 2013-14 to 2020-21, the state’s average percentage share of approved projects’ cost was 4.4%. However, there was a remarkable improvement in the last two financial years. In 2021-22, Uttar Pradesh held a share of 12.8 % in the total cost, which further grew by 3.4 % in the period from 2021-22 to 2022-23. These two years have seen an increase of 11.8 % in the state’s share of project costs.

“Analysing this report based on the financial backing of projects brought together by banks and financial institutions reveals that Uttar Pradesh has witnessed a consistent trend of growth in its share...” the statement said.

The average growth was around 4.4 % between 2013-14 and 2020-21. Following that, it increased to 12.8 % in 2021-22, and further escalated to 16.2 % in 2022-23, the statement highlighted.

In contrast, other states experienced irregular growth patterns. While some states experienced sudden growth within a year, in some cases, there were significant fluctuations in the data between the period of 2013-14 to 2020-21 and the years 2021-22 and 2022-23. Some states even witnessed a decline in growth, the statement said.

For instance, in Gujarat, where the average growth rate was 14.3 % between 2013-14 and 2020-21, it dropped to 14 % in 2022-23, a decrease of 0.3 %. Similarly, in Odisha, the average growth rate from 2013-14 to 2020-21 was around 4.5 %, which declined to 2.2 % in 2021-22.