THE RISING RAJASTHAN SUMMIT WILL BE A CATALYST FOR CHANGE

In the coming week, CM Bhajan Lal Sharma is going to accomplish something very special as his government concludes its first year of success. And along with this, his efforts throughout the year will be enriched by the Rising Rajasthan Summit, which will take place in the capital city of the state from December 9th to 11th, 2024. Certainly, this would be a significant beginning for Rajasthan government in putting the state on the path of fastest development in the nation. It is also widely known for everyone CM Bhajan Lal Sharma dreams of elevating the state’s economy to $350 billion in the future.

WILL THIS SUMMIT BE A CHANGE-MAKER FOR RAJASTHAN?

Yes..!

Due to the fact that it is a 3-day ‘Mahakumbh’ specifically for entrepreneurs and industrialists. It’s also very appropriate to say that this will be a global summit also. Because in this summit 32 countries are participating, including Denmark, Japan, South Korea, Singapore, Switzerland, Malaysia, Spain, Cuba, Brazil, Costa Rica, Venezuela, Morocco, Argentina, Nepal, Oman, Poland, and Thailand, etc. Among these, the 17 countries will be designated as the ‘partner countries’. Prime Minister, Narendra Modi will inaugurate this landmark event of the Bhajan Lal government. The success of this vision can also be dreamt as MoUs of worth Rs 30 lakh crore as investment proposals have already been signed by the State Government. The ceremony will have over 5,000 dignitaries present. These will include National-International Institutions, Investors, business & trade giants and all eminent Indian industrialists.

The Rajasthan economy needs greater attention towards faster development for two major reasons: one, rural development; and two, to address the unemployment issues. At present, only 27 percent of the population lives in cities, while the rest is in the villages. This statistic is itself a major idea to understand why the state is lagging behind in prosperity. The services sector accounts for 45 percent of the State GDP, on the other hand, agriculture and industry are almost equal, each with 28 percent. The state has a per capita income of Rs 167969, which is a decent position compared to the national average. In recent years, the state economy has grown more than 10 percent annually, which is a good sign. However, the scope of industrial development is quite extensive. The state only has dominance in exports for five commodities: engineering goods, jewellery, metal, textiles, and handicrafts. These all make up approximately 65 percent of the total exports. The number of MSME units in the entire state is around 5 lakhs, which provides employment for only 20 lakhs people. This is very low and directly indicates the cause of unemployment. The state has a huge potential for renewable energy, particularly in desert areas for solar generation. The MNRE department’s data indicates that Rajasthan has the potential to generate 142 gigawatts of electricity from solar energy.

If we look at the services sector, which is leading the in-state GDP, we find that tourism, especially hotels, contributes the most. Real estate is next in the services sector. Enhancing the financial services contribution, which is currently only around 10 percent, is a significant concern. It is also very well known that many Fintech entrepreneurs are originally from Rajasthan, but at present they are investing in the software cities of Bangalore and Hyderabad. The transport facilities are also very important to set a global standard for enhancing tourism. A few cities require the best airport facilities and regular air travel to attract more tourism. Furthermore, religious tourism can flourish and be established as a destination.

In another aspect, the city of Kota is well-known across the country for its coaching hubs and is also economically successful. It is imperative for the government to encourage these institutes to expand and consider listing them as public companies on the Indian capital market. This is necessary because the stock market has become the first investment priority for the common man, and bank interest rates are no longer considered attractive. By becoming publicly listed companies, coaching institutes would offer investment opportunities for people in Rajasthan and other parts of the country, leading to a new wave of industrial development in the state.

To enable Rajasthan to become as economically established as Gujarat, it is crucial to achieve a rapid mental shift among local investors, who need to start thinking like Gujarati investors. There is no denying that Rajasthan’s geographic obstacles prevent it from having the same natural advantages for business as Gujarat or other developed states. Because of this, local marwari traders from Rajasthan have migrated to other states in the past decades. However, it must also be understood that now all those migrated traders, who are based in various parts of the country—such as Ahmedabad, Surat, Vapi in Gujarat; Mumbai, Nagpur in Maharashtra; Kolkata in Bengal; Cochin in Kerala; Guwahati, Jorhat in Assam; Ludhiana in Punjab; and many other cities like Delhi—have established a significant reputation in these regions while originally being from Rajasthan.

In Rajasthan, it is important for all of them to establish their next stage of business by using new supply chain management or modern management practices, and the Rajasthan government should provide them with all the necessary facilities. The development of infrastructure in Rajasthan’s smaller cities requires non-resident Marwari businessmen and investors to partner with the government in public-private partnerships, which is crucial. Rajasthan may begin its economic growth with a fantastic start, allowing them to present an economic model similar to Gujarat’s and even surpass other developed states. After all, Marwari traders have an inherent talent for business, which is a natural source of profit for the economy.

Everyone will have the mutual consensus that tourism development must be a central part of Rajasthan’s economic policies. Citizens must take a proactive role in promoting tourism in the state in this age of social media. It is necessary for them to cultivate a refined social culture and prioritize cleanliness in their regions. The state government’s top priority should be to preserve heritage objects and sites in every city, involving village panchayats in this effort. The government appears to have forgotten that there are other major religious sites that draw devotees from all over the country that are still not connected by train. The government must take a positive approach to this issue. Despite the establishment of air travel facilities in some small towns in recent years, they lack continuity because profitability is prioritized, which disappoints citizens. It is important to prioritize modern or at least convenient transportation facilities before developing tourism facilities.

The Rising Rajasthan Summit requires a special attention for Jaipur.…

It is the most developed city in the state and now the time has come that Jaipur must be rapidly brought to the forefront of India’s economic map, akin to how cities like Gurgaon, Noida, Hyderabad, Pune, and Bengaluru have carved their identities in the last two to three decades. Jaipur is much closer to Delhi and NCR compared to other major cities and state capitals. Every Business & Industry investor now must feel that a little room is only left for economic expansion in the Delhi & NCR and Jaipur is the only a favourite big hope destination for everything in the business and industry expansion.

In the conclusion, the phrase ‘Double Engine Government’ has become a well-known expression of development in the society. Despite its exclusive use as a narrative during election times but a common man, now has started believing in his dream of growth in this too. The government’s firm determination is the key to progress towards a developed economy. The phrase ‘double engine government’ may become an idiom in language and literature if its constructive vision for the growth is implemented in the financial budgets and economic policies. If it doesn’t happen, it will remain a political slogan. At present the Rising Rajasthan Summit seems to be a very constructive approach. Let us hope and assess that Bhajan Lal’s government will prove through this summit a new standard of various achievements.

THE VIEWS EXPRESSED BY THE AUTHOR ARE PERSONAL

Dr PS Vohra, The writer is columnist and financial thinker