ABSTRACT

Bihar is one of India’s leading states in terms of economic growth, with Gross State Domestic Product growing at a rate well above the national average rate between 2012–13 and 2019– 20. Nevertheless, there has not been much change in Bihar’s relative economic size and per-capita income with respect to India. Bihar has to fundamentally undergo structural transformation in its economy and transformation in human development. This chapter sets the study in the context of the Bihar government’s vision of ‘Saat Nischay’ (2015–20) in the larger context of human development. The chapter dissects the essential components of human development, namely, health, education, and standard of living/physical amenities. While Bihar appears to have allocated the largest outlay on health, education, and social development, its per-capita allocation remains the lowest in India. The chapter closes with policy implications to realise Bihar’s goals of structural transformation, economic convergence, and human development.