5 charts reveal the state of state economies
- Almost every state economy has already surpassed its pre-pandemic size and state finances are looking up.
After witnessing unprecedented challenges due to the covid-19 pandemic, India’s states are well on their way to recovery, according to the Reserve Bank of India’s Handbook of Statistics on Indian States released last week. Almost every state economy has already surpassed its pre-pandemic size and state finances are looking up even as concerns over elevated fiscal deficit remain. Rural wage growth, however, has failed to keep pace with average retail inflation, which may become a cause of decline in spending. Here is what data tells us about states’ growth, finances, wages, and credit, in five charts: