The Union Government on 15 May 2013 had set up an expert Committee under the supervision Raghuram G Rajan, Chief Economic Adviser to evolve a composite index to measure backwardness of states.
The panel is set up in consistent to the Budget announcement, and it can also invite other experts as Special Invitees for discussions.
The decision was taken amid demands for special category status by Bihar. The backwardness of the States will be consider in terms of measures like distance of the State from the national average under criteria such as per capita income and other human development indicators and for evolving a Composite Development Index of States.
The Committee is supposed to submit its report within 60 days. The other members of the committee are Shaibal Gupta, Bharat Ramaswami, Najeeb Jung, Nirija G Jayal and Tuhin Pandey.
It is important here to note that the present criteria for determining backwardness are based on terrain, density of population and length of international borders.