Tamil Nadu leads the country with the highest economic growth rate of 9.69% according to the data released by the Union Ministry of Statistics and Programme Implementation (MoSPI). The state, in its first economic survey released for 2024-25 estimated a real economic growth rate (exclusive of inflation) of over 8%. It may be noted that real economic growth shows an accurate picture of the economy’s output of goods and services.
Following Tamil Nadu closely are Andhra Pradesh with a 8.21% growth rate and Puducherry with a 7.96% growth rate.
Crediting the Dravida Munnetra Kazhagam’s (DMK) governance model for the growth, Chief Minister MK Stalin said, “Tamil Nadu leads the nation with 9.69% growth, the highest in India. More commendable is the fact that we have managed to achieve this with our unwavering focus on inclusivity, gender equality and geographical spread of growth. Driven by sound fundamentals, steady governance and a clear strategic vision, our DravidianModel is shaping the future of our State and people.”
He also added that the state is now powering towards achieving a $1 trillion economy.
Prior to 2024-25, the state recorded its lowest real growth rate of 0.07% in 2020-21, the pandemic year, and its highest of 8.59% in 2017-18.
Barring Tamil Nadu and Andhra Pradesh, the other southern states of Karnataka and Telangana in 2024-25 recorded a real economic growth rate of 7.37% and 6.79% respectively. The data for Kerala is not made available by the MoSPI.
Tamil Nadu has also recorded the highest nominal economic growth rate (inclusive of inflation) of 14.02% in the country.