‘Special Category’ classification is given to assist development of those states that face geographical and socio-economic disadvantages like hilly terrains, strategic international borders, economic and infrastructural backwardness and non-viable state finances. Central Government offers preferential treatment in central schemes to such states to enable them develop at par with rest of the country. Tax benefits incentivize investors to set up industries in state leading to more employment, higher production and increased revenue. And, preferential central assistance helps in building state infrastructure. As a result, special category state gets to bridge its development deficit.

1. BASICS OF THE CAMPAIGN

2. • ‘Special Category’ classification is given to assist development of those
states that face geographical and socio-economic disadvantages like hilly
terrains, strategic international borders, economic and infrastructural
backwardness and non-viable state finances.
• Central Government offers preferential treatment in central schemes to
such states to enable them develop at par with rest of the country.
• Tax benefits incentivize investors to set up industries in state leading to
more employment, higher production and increased revenue. And,
preferential central assistance helps in building state infrastructure. As a
result, special category state gets to bridge its development deficit.
3 POINTS ON SPECIAL CATEGORY STATUS

3. 3 REASONS WHY BIHAR IS POOR
• Neglect (economy, infrastructure, institutions) and bad policies
(Permanent Settlement) imposed by British until Independence
• Unfair Central Policies (Freight Equalization), infrastructural and
institutional neglect by successive central governments and a system of
central fund transfers biased against poor states
• Combination of intrinsic factors – floods, droughts, low industrial and
trade base, disproportionate resource losses due to bifurcation

4. 3 WAYS SPECIAL CATEGORY WILL HELP BIHAR
Tax Incentives will generate rapid and large scale private investments. This
will create large number of skilled and unskilled jobs. It will also develop
small and medium scale enterprises which will support the big enterprises
that are set up.
Centre will give 90% grants in all centrally-sponsored schemes. This
creates greater headroom for the state Government to spend on welfare and
development schemes.
Industrialization and availability of funds will drive the development of
public infrastructure which is essential for sustained economic growth.

5. 1. Led and scripted by Chief Minister of Bihar Shri Nitish Kumar from 2005 - 2013
2. Dec 2005: Nitish demands Special Category Status for Bihar to liberate the state from severe poverty
and infrastructural backwardness
3. 2005 – 2010: Special Category Status is central demand in administrative communication between the
Chief Minister and Central Government. Both Houses in Bihar (Legislative Assemble and Council)
support unanimously. Central Government ignores or rejects the demand every time.
4. 2010 – 2013: Nitish takes the issue to the People of Bihar who show strong support through
unprecedented Signature Campaigns and Adhikar Rally. Finance Minister agrees in his Budget 2013
address to review the criteria for Special Category Status giving a big boost to aspiration of Nitish
Kumar and People of Bihar.
5. 17 Mar 2013: Shri Nitish Kumar to address the nation on the rights of Backward States and Demand of
Special Category Status for Bihar

6. 3 POINTS ON Rally For Bihar
• Open platform to support campaigns for development of Bihar
• “Demand for Special Category Status for Bihar” is the first such
campaign supported by the Rally for Bihar Platform
• Rally for Bihar is running an awareness campaign to inform people
especially the youth on the issue of Special Category Status for Bihar