Gujarat leads in growth among the Indian states.

Gujarat has leaped ahead of other Indian states in growth, whereas the states in South India are witnessing a slump in growth, according to a report.  Gujarat has witnessed growth at the rate of 11 per cent as compared to the all Indian growth average of nine per cent, states the report by Mckinsey & Co.
In the recent years (2005-10), the real GDP growth in Gujarat has been 11.3 per cent as against 11 per cent in Haryana, 9.6 per cent in Bihar, 8.5 per cent in Karnataka, 8.1 per cent in Kerala and 7.4 per cent each in Andhra Pradesh and Tamil Nadu.

Gujarat has achieved leadership in the chemicals industry, with 35 per cent share of all investments in this sector over the past five years. Industry leaders attribute the slump in the South Indian region to factors such as rising land prices, significant shortage in the availability of skilled  labour, infrastructure bottlenecks including port capacity and growing urban congestion in Bangalore, Chennai and Hyderabad, for the slump.

India General Budget- 2011-12 HIGHLIGHTS

AC hospitals with more than 25 beds under service tax

Domestic travel to pay Rs 50 service tax, Rs 250 on international travel

Health check-up services now attract service tax

No change in Central Value-added Tax rates

No new tax exemption limits for women

Cut in import duties of raw material for mobile phones

Basic food, fuel exempted from central excise duty

Tax sops of Rs 20,000 on infra bonds extended by a year

1% excise duty on 130 new items

Rs 5 lakh tax exemption limit for individuals above 80 years of age

SEZ to come under MAT

Minimum alternative tax raised 185% vs 18%

Tax exemption limit increased to Rs 5 lakh for senior citizens

Eligible age for senior citizens is now 60 years against 65 years earlier

Exemption limit for individual tax payers raised to Rs 1.8 lakh from Rs 1.6 lakh

SC/ST scholarship scheme will benefit about 40 lakh students

Scholarships to SC/ST students in Class IX and X

Social projects spending outlay up 17% to Rs 16 lakh crore

Metro projects in key cities will get financial aid

Short term interest to farmers will continue to be at 7%

New companies bill to be introduced in this session

FII allowed to invest in MF schemes

FII limit in corporate bonds has been raised.