Sunday, October 27, 2013

Raghuram Rajan Committee

Raghuram Rajan Committee. Raghuram Rajan ( now RBI governor) is former Chief Economic Advisor. He submitted his report on the the criteria for granting special category status to states, on 26 september 2013.
The Committee has recommended a fresh approach and not the earlier practice of the ‘Special Category’ classification for states with high funding needs.Special status category states include the seven Northeastern states (Arunachal Pradesh, Assam, Meghalaya, Manipur, Mizoram, Nagaland and Tripura), Sikkim, Uttarakhand, Jammu and Kashmir and Himachal Pradesh. The special category status is given depending on their resources and geography. Some of the features are Low Population density, Hilly and difficult terrain , Location of states, Economic and Infrastructural backwardness and Non viable nature of state finances .

According to the report depending upon their Multi Dimensional Index (MDI) scores 28 states should be divided into three categories.
• Least developed
• Less developed
• Relatively developed

According the criteria given by the report Goa and Kerala are most developed states and Odisha, Bihar least developed states.

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