BackBihar stokes special status politics
There is no doubt that Bihar is one of the most backward states, however, it is not the only state where such an outcome can be expected
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The ruling Janata Dal-United in Bihar called for a bandh on Sunday and was supported by the government as chief minister Nitish Kumar led a march to Gandhi Maidan in Patna. According to news reports, shops were closed, traffic movement was disturbed and trains were halted across the state. Kumar is demanding a special status for Bihar. Earlier on Friday, pressing the same demand, Bharatiya Janata Party (BJP) stopped trains across the state. Protests by both the leading parties in the state raise some important issues.
First of all, should a political party, especially if it is in power and irrespective of the issues involved, be disturbing the normal functioning of a state? The clear answer is no. Neither the party in power nor the party in opposition is doing any good by shutting its own state down.
Second, political parties are fully aware that the central government is unlikely to admit such a demand at this stage. It will be a political mistake for the ruling Congress party at the Centre to accept a special status demand from a state where it is unlikely to gain much. On the contrary, it will lose support in other states and areas which also needs attention. Therefore, parties in Bihar are just using the issue ahead of the Lok Sabha election to show their political commitment to the development of the state.
Finally, the most important issue is, does Bihar actually need a special status? There is no doubt that Bihar is one of the most backward states in the country and it will help if more money flowed in to the state. However, it is not the only state where such an outcome can be expected. The Raghuram Rajan-headed committee for evolving a composite development index of states classified Bihar as the second most underdeveloped state in the country after Odisha. The committee classified 10 states in the “least developed" category needing higher central support.
As of now, among states, Bihar gets the second highest share of central funds after Uttar Pradesh. Therefore, it will perhaps be difficult for any government at the Centre to further increase its share significantly.
So what the state needs to do at this stage is to attract investment from the private sector which will help it maintain its growth momentum, create employment and generate higher tax revenue.
Bihar has witnessed a remarkable turnaround in recent years. According to the Bihar government’s Economic Survey of 2013-14, the state has grown at an annual rate of 12% in the last seven years. The per capita income which was at 33.7% of the national average in 2008-09 went up to 41.18% of the national average in 2012-13.
These are impressive numbers and the state needs to build on them in order to further bridge the income gap. However, this may not solely happen because of central assistance. The state now needs to capitalize on the gains of last few years to push growth. More central funds will definitely help but it shouldn’t be at the cost of other states. Resource transfers should be based on economic principles and not on political considerations.
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