Tamil Nadu Plan for 2012-13 Finalized

Tamil Nadu Chief Minister, Ms. J. Jayalalithaa

The Annual Plan for the year 2012-13 for the state of Tamil Nadu was was finalized on 04JUN12 at a meeting between Deputy Chairman, Planning Commission, Mr.Montek Singh Ahluwalia and Chief Minister of Tamil Nadu, Ms. J. Jayalalitha. The plan size has been agreed at Rs. 28,000 crore (or approximately USD 5 bn).

In his comments on the plan performance, Mr Ahluwalia said that the State has an impressive record of improvement in human development indices and growth in services sector. Per capita income levels have gone up in the State since independence as a consequence of sustained GSDP growth. In most of the cases Tamil Nadu has better social indicators than the national average.

Tamil Nadu Government’s efforts to make growth truly inclusive were appreciated. Bold and innovative decisions taken including power tariff revision are steps in the right direction. It was pointed out that leading State’s like Tamil Nadu should attract knowledge based investment and for this purpose focus should be on further improving the quality of education. It was pointed out that the 12th plan will give priority to education, health and infrastructure.


The decadal growth rate of population in Tamil Nadu has increased from 11.72% in 1991-2001 to 15.60% in 2001-2011. On the contrary, the decadal growth rate of population in the country has fallen from 21.54% in 1991-2001 to 17.64% in 2001-2011. During 1991-2001, Tamil Nadu contributed 3.59% of the total population growth in India, whereas in the next decade i.e. 2001-2011, Tamil Nadu contributed 5.36% of the total population growth in India.

Tamil Nadu has shown improvement in both overall sex ratio (from 987 to 995) and child sex ratio (from 942 to 946) during 2001-2011. Tamil Nadu is at 5th place among major States in the country in terms of child sex ratio. Chhattisgarh (964), Kerala (959), Assam (957), and West Bengal (950) exhibit better child sex ratio than Tamil Nadu. Within Tamil Nadu, the overall sex ratio and child sex ratio in cities having population of more than 1 lakh.

The services sector accounts for 65.8% of the GSDP at 2004-05 prices which is followed by the Industry sector (26.5%) and the Agriculture sector (7.7%) during 2011-12. The share of the Agriculture & Industry sectors in Tamil Nadu’s GSDP has been gradually falling over the years, whereas the share of services sector has been rising.

In 2011-12, the real per capita income of Tamil Nadu is higher than the real per capita income of the country as a whole. The real per capita income of Tamil Nadu has increased at CAGR of 9.54% during 2004-05 to 2010-11 while the All India per capita income has increased at CAGR of 6.84% during the same period.

The Chief Minister of Tamil Nadu said that the State Government’s prudent fiscal management strategies have reversed the dismal outlook and the State has returned to a situation of revenue surplus in 2011-12 and the fiscal deficit as a percentage of GSDP has been contained at 2.85%. The latest estimates of the Central Statistical Organization (CSO) place the economic growth rate of Tamil Nadu for 2011-12 at 9.39% much above the national average of 6.50%.

She said 15 new medical colleges will be established attached to district hospitals and the 17 existing medical colleges cum district hospital will be upgraded to international standards. Two Medi-cities will be created in the State with a mission to serve the medical tourism industry covering investment in hospital facilities, education facilities, logistics and hospitality services. The Chief Minister said that to reduce the dropout level further, Government has decided to give a special monetary incentive to all the students studying in 10th standard to 12th standard in Government and Government aided schools. Scheme is expected to benefit 24,94,649 students annually with a total outlay of Rs. 394.04 crore.

She said the State is aiming at increasing the share of manufacturing in the State’s economy, improve agriculture productivity, and focus on improving skills and human resources. For this a total investment of 15 lakh crore rupees in key infrastructure project is proposed that will trigger and intensify economic growth. The Tamil Nadu infrastructure Development Board to provide the institutional mechanism for speedy appraisal and approval of major infrastructure projects.

The Government is concerned about inter-district and inter-regional growth disparities within the State. In order to correct these regional disparities in sectors like health, education, poverty and unemployment through targeted programmes, the Tamil Nadu Government has creates the State Balanced Growth Fund with an initial outlay of 100 crore rupee this year which will be increased in coming years.


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