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“…the Government of Mizoram has decided to introduce this New Economic Development Policy with the main objective of bringing about a sea change in the way priorities are placed in matters of economic development and governance so as to ensure that the State fully capitalizes on the new opportunities placed before it with the end goal being to attain a robust and self sustaining economy in the long run…”

MOTIVATION • Potential growth with admirable untapped natural endowment; • Opportunities to leverage changes in fiscal federal structure under FFC; • Act East Policy coupled with Myanmar Democratic Government; • Demographic dividend working age group; (64% • High degree of political will at the highest level.

Growth Friendly Fiscal Consolidation

POPULATION

GROWTH IN PER CAPITA INCOME (NSDP/NDP at Current Prices)

SECTORAL SHARE IN GSDP (2013 -14) Agri & Allied Sl. No. 1 -3 Services Sl. No. 8 -13 Industry Sl. No. 4 -7 33. 04 % of Services Sector

VEGETABLE MARKET SURVEY IN AIZAWL CITY (7 th November 2015) Name Mahni Thlai Thar Zuar Kharchhawng Aizawl khaw pawn Aizawl khaw chhung Total Bara bazar 264 67 45 458 834 Thakthing 38 212 203 38 491 Khatla 30 5 - 60 95 Treasury Square 6 4 39 93 142 Dinthar 8 - - 26 34 Vaivakawn 13 2 - 90 105 Chaltlang - 8 - 23 31 Chanmari 19 31 5 31 86 Ramhlun 54 10 - 45 109 Bawngkawn 26 47 3 146 222 TOTAL 458 386 295 1010 2149 TOTAL 844 (39. 27%) 1305 (60. 73%) 2149 (100%)

An Ar dhr un a ac Pra ha de l P sh ra de s As h sa m Ch B ha iha tti r sg ar h Go Gu a Hi ja r m ac Har at Ja ha ya m l P na m u rad & e Ka sh sh Jh m ar ir k Ka han rn d at M ak ad a K hy e a P ral M rad a ah e ar sh as h M tra an M ip eg ur ha M laya izo Na ram ga la n Od d ish Pu a Ra nja ja b st ha n S i Ta kk i m m il N ad Ut Tr u ta ipu r P ra An Ut rad da ta es m ra h an k W & e ha Ni st nd co Be ba ng a r Da dr C Isla l a & ha nd Na ndig s ga ar Da r H h m ave an li & Di u La D ks e ha lh d i Pu we du ep ch er ry PERCENTAGE OF HOUSEHOLDS WITH LATRINE FACILITY (2011) 120, 0 All India 46. 9%, Mizoram 91. 9% 100, 0 95, 2 89, 3 80, 0 64, 9 62, 0 60, 0 49, 6 23, 124, 6 57, 4 51, 2 22, 0 91, 9 79, 7 97, 8 87, 2 76, 5 40, 0 35, 0 86, 0 68, 669, 1 62, 9 87, 6 79, 3 65, 8 58, 9 53, 1 89, 5 78, 2 70, 1 68, 5 54, 8 48, 3 35, 7 28, 8 22, 0 20, 0

Mizoram top in urban household toilet coverage! Source: Report of Chief Ministers Sub-Group on Swachh Bharat Mission

An Ar dhr IN un a DI ac Pra A ha de l P sh ra de s As h sa m Ch B i ha ha tti r sg ar h Go Gu a Hi ja r m ac Har at Ja ha ya m l. P n a m u rad & es Ka h s Jh hm ar ir k Ka han rn d at M ak ad a hy Ke a P ral M rad a ah e ar sh as h M tra an M ip eg ur ha M laya izo Na ram ga la n Od d ish Pu a Ra nja ja b st ha n S i Ta kk m im il N a Ut Tr du ta ipu r. P r An Ut rad a da ta es m ra h an kh W & e Ni st and co Be ba ng Da a r dr C Isla l a & ha nd Na ndig s ga ar Da r H h m ave an li & Di u La D ks e ha lh d i Pu we du ep ch er ry PERCENTAGE OF HOUSEHOLDS WITH NO LIGHTING (2011) 12, 0 10, 50, 4 0, 0 All India 0. 5%, Mizoram 0. 3% 10, 0 8, 0 6, 0 4, 0 2, 0 1, 0 0, 2 0, 1 0, 3 0, 4 0, 5 0, 9 0, 1 0, 4 0, 0 0, 2 0, 6 0, 8 0, 3 1, 1 0, 7 0, 8 0, 5 0, 4 0, 5 0, 3 0, 2 0, 3 0, 1 0, 2 0, 0

CREDIT DEPOSIT RATIO Mizoram 37. 85 All India 78. 96

Percentage of Households with Access to safe Drinking Water Supply (2011) STATE/UT TOTAL RURAL URBAN All India Mizoram 85. 5 60. 4 82. 7 43. 4 91. 4 75. 8 Chandigarh 99. 3 98. 7 99. 4 Punjab 97. 6 96. 7 98. 9 Uttar Pradesh 95. 1 94. 4 97. 9 Lakshadweep 22. 8 31. 2 20. 2 Kerala 33. 5 28. 3 39. 4 Meghalaya 44. 7 35. 1 79. 5 Manipur 45. 1 38. 1 60. 8 Nagaland 53. 8 54. 6 51. 8 Assam 69. 9 68. 3 78. 2 Sikkim 85. 3 82. 7 92. 2

EASE OF DOING BUSINESS RANKING 2015 BY WORLD BANK GROUP 28 th Rank out of 32 States

WHAT IS NEDP? Lays out Dynamic Vision Monitorable outcomes (policy/refor ms/work) Guiding Principles Identify line Departments Areas for critical policy/ interventions

…to enable exodus from poverty, subsistence economy, dependency… …build public confidence The NEDP aims at providing bold, practical, holistic, inclusive, and effective COMPREHENSIVE growth strategies to PUSH the economy to a high growth path by enhancing productivity, creating employment opportunities, improving public financial management, improving business environment and improving public service delivery in a SUSTAINABLE manner.

IDENTIFICATION OF KEY GROWTH SECTORS / KEY GROWTH DRIVERS Focus intervention on key growth drivers • Strategic focus • Scale issue • Fiscal constrain / Value for public money Policy intervention on high interlinkages • Impact on economy / better outcome • Sustainability • Leverage public investment Comprehensive action plan / strategy • To give big push to the economy • Better coordination among Departments • To sustain high growth path

STRATEGY FOR REIVIVING AGRICULTURE AND ALLIED SECTOR Shift from subsistence oriented to market oriented production Focus on selected crops with high growth potential Increase in productivity and competitiveness Improving market orientation of farmers at production level High impact on production/ growth Appropriate use of modern technology Facilitation of market access and participation of farmers in output market To address scale issue, and to sufficiently provide domestic market demand Improving market infrastructure

STRATEGY FOR DEVELOPING INDUSTRY-MANUFACTURING SECTOR Focus on structural coherence • Endowment link • Sustainability Tap modern technology • Productivity • Overcome geographical disadvantage Improve doing business • Implement reinforcing policies to ease doing business Skills Development • Job oriented • Market demand

STRATEGY FOR ROBUST INFRASTRUCTURE DEVELOPMENT Develop O&M Framework and Ensure Funding • Cost effective • Sustainability Create Environment • Investment – reduce costs to economy for Private Participation • Promote efficiency Power Road & Bridges Public Asset Management • Common pool • Optimize utilization Water Supply Sanitation Housing Unbundling of Core Unit • Design -> Implementation -> Monitoring • Generation -> Transmission -> Distribution Urban Mobility

STRATEGY FOR SUSTAINING SERVICES SECTOR LED GROWTH Jobless growth in services sector not sustainable Remove burdensome regulations and policies – to improve ease of doing business Set up appropriate Regulatory Authority – facilitate growth, promote competition, improve delivery of services

REFORM IN PUBLIC FINANCIAL MANAGEMENT Budget reforms • Fiscal discipline • Expenditure reforms - efficiency in Public Expenditure – doing more with (less) public money. • Better linkages of budget with policy (Government priorities) • Strengthen audit, legislative scrutiny and accountability Improve efficiency in resources allocation • To improve operational efficiency in public service delivery • Cost effective • Commercial account for Departments with revenue stream Improve public financial management • Capacity building • Cash flow management • Credible Procurement system • Credible resource mobilization model • Dynamic debt management framework

SKILLS DEVELOPMENT TO REAP DEMOGRAPHIC DIVIDEND 64% of the population in working age group Need to Develop Credible Skills Development and Education Reforms in line with NATIONAL SKILLS QUALIFICATION FRAMEWORK 15 -59

CLIMATE CHANGE ADAPTATION AND MITIGATION STRATEGY • • • Agriculture, rural livelihoods, sustainable management of natural resources and food security are inextricably linked within the development and climate change challenges. Climate change pressures will be compounded by a pronounced lack of sufficient knowledge, infrastructure, organization and resources that local populations and governments would need to cope with and adapt to climate change. The State Government would need to initiate vulnerability assessment to work out suitable strategy for adaptation and mitigation of climate change

PUBLIC ADMINISTRATIVE REFORM • Increasing citizens’ welfare by better balancing and more effectively delivering, social and economic policies over time; • Improving public sector efficiency, responsiveness, transparency and effectiveness through public management reforms - including simplification of procedures and reduction of formalities and exploring possibility to reduce unnecessary licenses, registrations, and permits; • Improving rule of law and democracy through legal reforms, including improved access to regulation and reduction of excessive discretion of regulators and enforcers; • Proper use of ICT to address development problems in innovative ways; • Rightsizing of government - especially though exploring areas for efficiency gains through a reduced role of the State, exploring opportunities for staff reductions, and maximizing the opportunities for synergies, co-ordination and appropriate sequencing - to set up Administrative Reforms Committee.

MONITORING TEMPLATE ITEMS / POLICY IMPLEMENTING DEPARTMENTS TIME SCHEDULE PERIODIC REVIEW BY MSPB

COMPREHENSIVE GROWTH STRATEGY AGENDA Policy Agenda 1. Operations and Maintenance Framework for Infrastructure Sector (Roads, Power, Water, etc) 2. Services Sector Regulatory Framework 3. Comprehensive Skills Development Framework 4. Resource Allocation Framework 5. Resource Mobilization Policy/Strategy 6. Public Private Partnership Policy Framework 7. Strengthening of Audit/Legislative Scrutiny/Accountability (Framework) 8. Strengthening of Official Data and Statistics (Framework) including baseline survey of BPL 9. Climate Change Adaptation and Mitigation Strategy/Policy Reforms Agenda 1. Financial Management Reforms including expenditure reform, procurement system reform, debt management, cash flow management, strong budget execution etc. 2. Administrative Reform including rightsizing, improving efficiency and services delivery - ICT 3. Land Reform 4. Power/Water Sectors Reform (Unbundling of core business) 5. Improving Ease of Doing Business 6. Agriculture Produce Marketing Reform Convergence Converge - NEDP, CSS, NEC, NLCPR, NLUP – to implement State objectives / to address State specific needs/problems Agenda Growth Agenda 1. Policy intervention on selected - high impact - key growth drivers 2. 2 -5% increase in GSDP Growth over 5 years and sustaining high growth Aim to achieve robust and self sustained economy

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