The state’s economic recovery gathered momentum after economic liberalisations were introduced in the mid-1990s by the central government. This was aided by the advent of information technology and IT-enabled services. Since mid-2000s, armed activists conducted minor terrorist attacks in some parts of the state, while clashes with the administration took place at several sensitive places over the issue of industrial land acquisition, which became a crucial reason behind the defeat of ruling Left Front government in 2011 assembly election.

Although the state’s GDP has risen significantly since the 1990s, West Bengal has remained affected by political instability and bad governance.The state continues to suffer from regular bandhs (strikes), substandard healthcare services, a lack of socio-economic development, poor infrastructure, political corruption and civil violence.