Pakistan Vs Uttar Pradesh. That is shaping up to be an interesting comparison the way things are going.
You see, Pakistan’s economy is in doldrums. There was a time in the 1980s when its GDP per capita was higher than India’s and they could use that advantage to pin India down in different areas. Also, along with a compliant government and pusillanimous politicians in India, we were always on the back-foot.
With the Modi government that has changed. Now, even states in India are willing to vie for competition with major countries. Yogi Adityanath, for example, is chalking up plans to woo the companies which are disenchanted with China and want to move out.
Accepting the coronavirus pandemic as not just a challenge but also a big opportunity for the economy, the Uttar Pradesh government has decided to offer a special package to investors “disenchanted” with China and eager to shift base to other countries, a senior official said Friday. “Many companies appear to be disenchanted with China. If a company or investor wants to invest in the state, Chief Minister Yogi Adityanath will give them a special package and facility,” Additional Chief Secretary (Home) Avanish Awasthi said.Economic Times
This broader and bolder way of looking at things has meant that Uttar Pradesh, the backwaters of Indian economy for many decades now, is pulling itself up. After all the looting and plunder by Mayawati and the Yadavs, it is now gearing up for a better tomorrow.
Pakistan vs Uttar Pradesh: GDP disparity will shoot in next 10 years
This can be seen in the fact that given how things are going, by the next fiscal year, Uttar Pradesh could be beating Pakistan’s GDP. By 2030, Uttar Pradesh’s GDP could be 2.5 times that of Pakistan!
Pakistan’s economy will recede this year, and their own estimates for the year after that is that it will again increase, albeit by 2%.
UP’s economy grew last year by 6% and this year the growth rate was 14%. If, taking the impact of COVID out, the current growth rates remain constant, the chances are that UP will beat Pakistan’s GDP by 2022.
The disparity in growth rates is tremendous between the Indian state and Pakistan. And, we haven’t factored in the success of companies moving in to UP due to the push that Yogi Adityanath is going for.
Yogi government hitting the economy accelerator
In February, 2020; the Yogi Adityanath government held the DefExpo, where 23 MOUs for Rs 50,000 crores were signed.
“The Defence Expo is a huge opportunity for Uttar Pradesh because one of the two defence corridors in the country is coming up here. We have started work with a land bank of 25,000 acre in six nodes,” Yogi said.Times of India
The Yogi government is also planning a global investors’ summit likely to be held in October or November to invite companies in UP.
And, his efforts are showing results as well. Last year, the economy grew by 6%, but in FY2019-20, the growth will likely be 14%.
The Gross State Domestic Product (GSDP) of Uttar Pradesh for 2020-21 (at current prices) is estimated to be Rs 17,91,263 crore. This is based on the estimate that the state’s economy will grow at a rate of 6% from the year 2019-20. In 2019-20, GSDP is estimated to grow at a rate of 14% over the previous year.PRSIndia – UP Budget Analysis
That means, that if that rate of growth is sustained, the economy will double in 5 years. We are looking at UP reaching the Trillion dollar GDP by 2030-31. In fact, as Yogi Adityanath is shooting for an economy of USD 1 trillion. If the current growth remains intact, then it could happen by 2031.
Now, think of those Muslims who moved to Pakistan from UP. Today there lot is pitiable. They have been discriminated all these decades for being “Mohajirs” and now their entire country cannot even match the home they left 7 decades back.
Pakistan economy on ventilator
These are the end days for Pakistani economy. They will not survive very long. Even the final CPR from China and Saudi Arabia will vanish after they get nothing in return from a country which has no revenue generation sources left. We have discussed about this earlier – please read about Pakistan’s impending doom.
This brilliant analysis by Rishabh Gulati is a must watch for anyone who wants a clear cut picture of the Pakistani economy.
Of course, as the Handwara incident shows, the Pakistanis are still living in their fools paradise and think that terrorism and not good governance and economy will be their ticket to Nirvana.
Its Economics that triumphs
All the shenanigans of pulling another person down and trying to sow chaos in other societies can only work, if your own economy and state is doing well. If your own economy is a mess then all the effort to do geopolitical state-craft using terrorism can pave way for your own doom.
That is where Pakistan is. Like kleptomaniacs, who cannot help themselves stealing, Pakistani establishment is Terroromaniacal. They cannot help themselves being engaged in terror activities.
Meanwhile UP, with Yogi Adityanath, will be prospering. Because for the first time in the history of the state since independence, that state has a leader who keeps thinking about the state 24/7. And he is energetically fighting for his people’s welfare.