Mumbai: The revival of Kolkata as a growth hub holds the key to reviving the eastern half of India which is “distinctively poorer” than the western half of the country, Member of the Economic Advisory Council (EAC) to the Prime Minister, Sanjeev Sanyal, said on Wednesday.
During an event at the National Stock Exchange (NSE) here on the ‘The Relative Economic Performance of Bhartiya States,’ Sanyal told reporters that “The relative performance of the Indian states shows one or two very clear trends.
“The first is the much talk about the North-South divide, which is not the real economic crisis in the country. It is actually an East-West divide where the eastern half of India is distinctively poorer than the western half of the country,” Sanyal explained.
He further stated that the key to accelerate development in the eastern half of India is reviving Kolkata, specifically because the high growth all over the country is ultimately driven by a handful of high-growth urban hubs. In that context, eastern India needs a high-growth hub.
“Kolkata already has some clusters and a long, glorious history. Despite the last half century of decline, I would argue that the secret to reviving the eastern half of India must be about the revival of Kolkata, specifically,” Sanyal remarked.
Meanwhile, industrialist Sanjiv Goenka has expressed optimism about West Bengal’s evolving political landscape, saying a stable government led by the BJP could help restore investor confidence and attract fresh investments into the state.
Speaking to NDTV after election trends emerged, the RPSG Group chairman said the focus should shift from concerns over outward migration of Bengalis to creating an environment that draws talent and capital into the state.
He emphasised the need to build a business-friendly ecosystem where both individuals and companies feel encouraged to invest and settle.
Goenka, who was born and raised in Kolkata, said he has a personal stake in the state’s development and hopes to contribute to its growth story.
He stressed that policy consistency is crucial for industry, noting that frequent regulatory changes or reversals often deter long-term investment decisions.
He also flagged the need for structural reforms, criticising outdated frameworks such as the urban land ceiling regulations, which he described as obsolete and a barrier to growth.
(IANS)
