Surpassing China, India has got the recognition of fastest growing economy globally, as per IMF report.
International Monetary Fund (IMF) recently mentioned India as the fastest growing economy (6.5%) in the world.
“Indeed, India is one of the strong performers. We had a fairly sharp revision in the Fiscal Year 2023 to 2024, the one that is ending, and that has just ended. Then we have 0.3 percentage point upgrade for Fiscal Year 2024 to 2025. So India is doing quite well,” mentioned Pierre-Olivier Gourinchas, chief economist of the IMF in press conference.
India comprises 28 states, seven union territories, along with a national capital territory (NCT). With a GDP of USD 4.1 trillion, India is ranked in top 5 economies in the world.
In this article, we will discuss how Indian states are contributing in overall growth.
The third-largest state (by area) in India has 11.2 crore of population. Maharashtra is the wealthiest state in India, which is a hub for film, fashion, performing arts, design, publishing, music, Television and radio industries.
Recognised for its rich cultural heritage along with industrial base, this Southern Indian state has a population of 7.2 crore. Tamil Nadu contributes largely to Indian GDP through automotive, information technology, and textiles sector.
Located in the western Indian coast, country's fifth-largest state by area, Gujarat has a population of 6 crores. Agriculture, industrial production, and retailing is the najor source of earning here. Meanwhile, Gujarat is the biggest producer of dairy products, and cotton.
Regarded as the ‘Silicon Valley of India’, Karanataka has a population of 6.1 crore. Karnataka has the fourth-largest technology cluster worldwide. Locational advantage to business-friendly policies have helped this state to become one of the largest contributors of India's GDP.
This state is the best example of multifaceted economy with growth in agriculture, manufacturing sector, handicrafts, and different services.
Once regarded as the capital of India, West Bengal is one of the major agricultural hub in India. This state has a population of 9.1 crore with a vibrant cultural heritage. West Bengal contributes largely in rice cultivation in India. Apart from that, WB is an important contributor in jute, electronics, and cotton textiles sectors.
India's largest state by area, Rajasthan, contributes largely in agriculture, handicrafts, and tourism industry. With a population of 6.8 crore, Rajasthan has a rich cultural heritage too.
The newly formed state Telangana is famous for supporting technology and pharmaceutical sector in India. In last few years, Telangana has shown rapid growth in biotechnology, and IT sector supported by foreign investments.
Considered as the ‘Eastern Gateway of India’, Andhra Pradesh has shown impressive growth in agriculture, pharmaceuticals, and textiles sector. Due to proximity towards Bay of Bengal, this state is important for foreign export and import.
Regarded as ‘Heart of India’, Madhya Pradesh is an important state for tourism sector. MP harbours unique historical sites as well as natural parks. Apart from that, MP is the highest producer of soybeans.
“Growth in India is projected to remain strong at 6.8 per cent in 2024 and 6.5 per cent in 2025, with the robustness reflecting continuing strength in domestic demand and a rising working-age population,” according to the latest edition of the World Economic Outlook released by the IMF.
