'States are choosing their own path of development'
Washington: Madhya Pradesh Chief Minister and influential BJP leader Shivraj Singh Chouhan has said that the states in India are now choosing their own developmental path and their dependence on Centre for welfare schemes and public works has declined over the years.
In his key note address to the India Summit held at the prestigious Ross Business School of the Michigan University, Chouhan said gone are the days when Indian states depended fully on economic development.
Chouhan said the states in India are now taking self-motivated initiatives for economic development, newer dimensions of governance and public welfare. He spoke in Hindi which was simultaneously being translated.
Observing that economic policies cannot be effective without cooperation from the states, he said the devolution of powers makes it mandatory to have strong sense of responsibility, fiscal discipline, efficient debt management, effective public administration and trade-friendly climate.
"Effective public service delivery and innovation the public service delivery systems will become parameters of administrative efficiency," said Chouhan, who is here on an eight-day US trip, the second as the Chief Minister.
Noting that state's dependence on the Union Government for welfare schemes and public works has declined over the years, Chouhan said the states now have to think independently about their development catering to their specific needs.
He said the state government is making efforts for more autonomy and flexibility in rules for service delivery for which there is a proposal to set up national treasury management agency.
Chouhan said Madhya Pradesh under his leadership has registered a growth rate of 10.2 per cent under the 11th Plan period against the national growth rate of 7.9 per cent.
While in 2011-12, India's economic grew at 6.5 per cent rate; Madhya Pradesh registered double digit figure of 11.98 per cent.
The fiscal deficit in Madhya Pradesh was 7.12 per cent in 2003-04 which came down to 1.94 per cent in 2010-11, he said, adding that efforts are on to limit it to 2.98 percent.