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Economic Survey 2019 Nagaland State’s report card

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Economic Survey 2019 Nagaland State’s report card

Morung Exclusive
5th July 2019
Morung Express News
Dimapur | July 4

The Union Minister for Finance and Corporate Affairs, Nirmala Sitharaman, tabled the
Economic Survey 2018-19 in the Parliament on July 4 projecting a 7 per cent GDP growth
rate in 2019-20, maintaining its fastest growing large economy tag in the world.

The survey, considered as the most authoritative and updated source of data on India's
economy, had good news and bad news for Nagaland State. The survey also acts as an
indicator to policymakers for future course of action.

On the bright side, the survey informed that the ‘Give It Up’ campaign, the voluntary giving
up of subsidies, saw the North East states like Arunachal Pradesh, Nagaland, Manipur and
Mizoram with higher rate of subsidy surrender as compared to larger states that availed
much more subsidy. Individual state data on this was not given. Nagaland is also one among
the 100% Open Defecation Free (ODF) states.

Again, on Sustainable Development Goals (SDGs), the Survey citing NITI Aayog’s report,
observed that Nagaland has performed well in three parameters - Institutions and equality,

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and Ecosystem and Biodiversity. The performance on ending poverty and hunger were also
notable.

The SDGs are global goals, built upon the erstwhile Millennium Development Goals. They
are exhaustive, universal and integrated and emphasize on core areas of poverty and
inequality, economic growth, innovation, sustainable consumption and production, climate
change, peace and justice and partnerships.

Lowest minimum wage rate in India

Despite some achievements, Nagaland's report card ran in the negative.
For instance, the survey noted that Nagaland has the lowest notified minimum wage rate at
Rs. 115 per day for Unskilled Workers, well below the Central Government adopted non-
statutory National Floor Level Minimum (NFLMW) of Rs. 176 per day w.e.f. June 1, 2017.
Delhi had the highest rate at Rs. 538, followed by Andaman & Nicobar at Rs. 451 and
Karnataka at Rs. 411.

It may be noted that the Department of Labour, Nagaland in pursuance of the State
Government’s notification revised rates of minimum wages for the scheduled employments
for Unskilled Workers at Rs. 176 per day, with “immediate effect from June 14.” However,
even with the revised rate, Nagaland would be among the bottom 5.

Agriculture and employment

In the ranking of States based on another NITI Aayog Study Report in terms of
implementation of marketing and other farmer friendly reforms, Nagaland was ranked 17
among 30 States/UTs.

The Economic Survey underscored that “access to timely credit or finance is a critical
determinant of profitability of agriculture.”

However, the distribution of agricultural credit was low in most North East States, including
Nagaland, with the survey stating that the share of the region has been less than “one per
cent in total agricultural credit disbursement.”
“If credit is not available to purchase seeds at the time of sowing, or if lack of credit delays
the administering of fertilizers, it can severely impact agricultural productivity,” it added.

Economic growth
Another concern for Nagaland as per the survey was its performances in crucial economic
related parameters in the SDGs. For instance, in the Goals 9 of the SDGs - Infrastructure and

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Industrialization - the State has ‘zero’ score out of a possible 100. The State also scored below
par and less than national average on Economic Growth, Resilient Cities, Gender Equality,
Health, Education and energy.

The survey also noted that Real Estate (Regulation and Development) Act, 2016 (RERA) has
been notified in 28 States/UTs have set up the Regulatory Authorities and that North East
States- Arunachal Pradesh, Meghalaya, Nagaland and Sikkim - are under process to notify
the rules.

“The core objective of this transformative legislation is to ensure regulation and promote real
estate sector in an efficient and transparent manner and to protect the interest of home
buyers,” it added.

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