Haryana’s growth story marred by disparities

Haryana was carved out of the erstwhile Punjab on November 1, 1966. Golden jubilee celebrations of the state began on that day. Haryana, being a small state, was the first state to achieve cent per cent electrification and road-connectivity in the early 1970s, under the strictly growth-oriented administration of Chief Minister Bansi Lal. During the 1980s and 1990s, the different governments of the state kept the status quo in development but indulged more in partition politics. They did not usher in major development plans in either agriculture, electricity generation or industry. 

It is a matter of pride that since 2004-5, the state has had the highest per capita income (PCI) among the states/union territories excluding Goa, Delhi, Sikkim, Chandigarh, and Pondicherry. The per capita income of Haryana in 2014-15 is expected to be Rs 1.5 lakh as compared to Rs 1.15 lakh of Punjab and Rs 2.8 lakh of Delhi. However, the growth is plagued by wide variations across the  region/districts. Districts of Gurgaon( now Gurugram), Panipat, Faridabad, Panchkula, Rewari and Ambala have a per capita income much above the state average. Mewat, Mahendergarh, Bhiwani, Kaithal and Jind are at the bottom. The ratio of PCI between the richest (Gurgaon) and the poorest (Mahendergarh) district was 3.7 in 2004-05 which has jumped to 9.7 in 2011-12, with respect to Mewat.  Inclusive growth, across regions, was the main poll plank of the BJP and its government also brought out a white paper in February 2015 to document the disparities between the districts. 

 During the last two years, the state government has  made an effort towards transparency in online registration, e-payment, e-returns, e-stamp system, 100 per cent disbursements of old age and other pensions through bank account (DBT). There have also been efforts to bring transparency by reducing interview marks to 12 per cent from about 25 per cent earlier in class III and II posts. The recent declaration of the results of the Haryana Civil Services within hours of the interview may be considered a testimony of its intention. The public at large is of the view that government-propelled corruption is on the decline; though the corruption embodied in the system through administration is yet to be attacked.  

Recent visit to the facilities of computerised Nakal facility, where Haryana  was ahead of most other states, revealed that farmers after taking computerised Nakal have to approach the concerned patwari for his signature and he invariably charges a sum for ‘gratification’for it. In neighbouring Punjab, a duty patwari is seated besides the computer operator who immediately signs and hands the nakal over to the farmer. Some strict SDMs in Haryana too are forcing patwaris to be seated but it is more of an exception. The inertia of the employees against the use of technology gets reflected while dealing in offices, especially in matters related to property/taxes. The poll promise of annually raising old age and other pension by Rs 200 and awarding more compensation to ex-servicemen has also been adhered to. The recent announcement of allowance and compensation for the educated unemployed is a welcome step but it is not a substitute for creating employment opportunities through higher investment. 

As far as the health sector is concerned, a medical college in each district, a medical university in Kutail village of Karnal,  an Ayush University in Kurukshetra and the ongoing struggle of the Health Minister to discipline the employees are all drawing a favourable response. 

Prompt disbursement and enhanced  compensation for wheat damage in 2015 was largely taken as positive but it has been undone by the implementation of Prime Minister Fasal Bima Yojana (PMFBY) as the neighbouring Punjab has not forced it on the farmers. The Haryana government  is boasting that PMFBY has been availed of by about 7 lakh farmers. According to the  feedback received by this writer from six districts of the state in September, strong protests were reported from farmers in almost all bank branches. The government should clarify the difference between compensation to be given to the insured and the uninsured farmers. Panchayats and municipal committees have definitely got more young and educated youth and women after the education qualification condition. They are being trained and the educational qualification in local bodies' polls has been taken as a welcome step by the public though outcomes are yet to be seen.

Financial inclusion through Prime Minister Jan Dhan Yojana (PMJDY) is another flagship programme of the BJP government at the national level and in Haryana. In terms of linkage of adults with scheduled commercial banks through deposit accounts, the entire state has a higher linkage at 107 per cent, as against average 86 per cent for all states as on June 2012. However, there are wide disparities across districts. It may have further improved due to the opening of 31 lakh rural and 23 lakh urban accounts in Haryana, under PMJDY till September 2016, but  regional disparities remain. As per RBI data: Faridabad and Panchkula districts accounts for 54  per cent of the deposits and 42 per cent of the credit of the entire state. If the deposits of Haryana in Chandigarh and Delhi taken, the share may reach up to 60 per cent. Qualitative improvement can happen in financial disparities if sub-offices of credit-monitoring institutions like the RBI, NABARD and SIDBI are opened at central places in Haryana. Similarly, location of Director-level offices of development departments is an essential condition for attracting investment in southern and central Haryana.

It is the law-and-order situation that  enables investment and attracts high-value residents to the state. The Haryana government claims that its ranking in the ease of doing business has improved from fourth place to 14th.  However, hardly any worthwhile units have come up away from Gurgaon (Gurugram), and NH-I, in spite of the state reducing electricity chares by Rs 2 in category IV blocks for industry.  The law and order situation may also be judged from the fact that there are  hardly any residents above the rank of colonel or equivalent civilian rank in cities like Rohtak, which is connected by six National Highways and railway lines (including expected Hansi) and situated just 70 km from the international airport of Delhi. The author has inferred this from the list of HUDA's Gymkhana Club members in Rohtak in 2012. The absence of quality and influential residents may be one of the reasons for the arson in February, 2016. As regards the security of women and general law and order, status quo prevails and improvement is still to be seen. It requires bold steps by the state to post all its higher police officials at police ranges and districts. The BJP's poll promise to establish a special High Court bench for southern Haryana must be taken to its logical end, instead of bowing to vested interests. The government, with a long-term vision, may envisage a new Smart City to shift more administration to the centre of the state.  

The writer is Professor, SBI Chair, Centre for Research in Rural and Industrial Development, Chandigarh.