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India, celebrated for its rich cultural diversity and varied landscapes, presents a complex economic structure across its states. As of 2025, Maharashtra stands out as the highest GDP state in India, making it the country’s largest economy. Other significant contributors to the nation’s GDP include Tamil Nadu and Uttar Pradesh, reflecting their economic strength and importance in driving India’s growth. On the other hand, states like Bihar and Jharkhand have lower GDP estimates, highlighting the economic disparities within the country.
India’s economic growth has gained momentum in recent years, and 2023 marked a significant period for this development. India’s GDP grew by 6.1 percent in the last quarter of the 2022-2023 fiscal year, contributing to an overall annual growth rate of 7.2 percent. This rapid expansion highlights India’s emergence as a rising economic superpower.
Maharashtra tops the list as India’s richest state with a Gross State Domestic Product (GSDP) exceeding ₹42.67 lakh crore (13.3% of national GDP). It is renowned for Mumbai, the financial capital of India, and housing institutions like the Bombay Stock Exchange. Maharashtra’s economy thrives on robust agricultural sectors producing cotton, soybeans, and sugarcane, alongside flourishing industries in automobiles, textiles, and engineering. The state’s port in Mumbai handles a significant portion of India’s international trade, further enhancing its economic stature. Maharashtra’s industrial prowess spans chemicals, pharmaceuticals, and textiles, contributing significantly to its GDP. Its agricultural sector, which specializes in sugarcane, cotton, and soybeans, is pivotal in sustaining economic growth.
With a Gross State Domestic Product (GSDP) surpassing ₹31.55 lakh crore (8.9%), Tamil Nadu is India’s second-richest state. The state is renowned for its capital, Chennai, a major center for automobile manufacturing and IT. Tamil Nadu has a diverse economy, leading in textiles, particularly silk and cotton, and agriculture, with significant rice and sugarcane production. The state’s focus on IT and software development has strengthened its economic position, making it a crucial contributor to India’s economic growth. With its varied industrial base and ongoing development, Tamil Nadu is vital to the country’s overall economic success.
With a Gross State Domestic Product (GSDP) exceeding ₹28.09 lakh crore (8.2%), Karnataka ranks among India’s wealthiest states. The state has a diversified economy, excelling in IT, biotechnology, and aerospace industries. Its capital, Bangalore, is a key IT hub, home to many IT and software development companies. Karnataka also has a strong agricultural sector, particularly in sugarcane and various crops, which complements its industrial strengths. The state’s robust infrastructure, including well-developed ports and airports, supports its economic activities and growth. Karnataka’s combination of advanced industries and solid infrastructure contributes significantly to its position as a leading economic player in India.
Gujarat emerges as one of India’s wealthiest states with a GSDP surpassing ₹27.90 lakh crore (8.1%). Its robust industrial base includes textiles, chemicals, and petrochemicals, and it is supported by well-developed infrastructure, including ports like Kandla and Mundra. Gujarat’s agricultural sector benefits from fertile soil, producing cotton, groundnuts, and sugarcane. The state’s proactive entrepreneurship and industrial growth policies further strengthen its economic position.
Uttar Pradesh’s diverse economy and strategic location make it one of India’s wealthiest states with a GSDP surpassing ₹24.99 lakh crore (8.4%). The state is well-known for its strong agricultural sector, producing a variety of food grains and sugarcane, and excelling in dairy and horticulture. Its manufacturing and service industries are growing, thanks to supportive infrastructure and policy initiatives designed to promote industrial development. Additionally, tourism plays a significant role in boosting the state’s economy, with famous attractions like the Taj Mahal drawing visitors worldwide. Uttar Pradesh’s combination of agricultural success, expanding industries, and tourism makes it a significant economic player in India.
West Bengal’s strong economic growth has earned it a place among India’s wealthiest states with a GSDP surpassing ₹18.80 lakh crore (5.6%). The state is well-known for its agriculture, particularly cultivating potatoes and jute. West Bengal also excels in engineering, chemicals, and textiles. The services sector, including banking and healthcare, is growing quickly. Additionally, cultural tourism plays a significant role in the state’s economy, with attractions like the Victoria Memorial drawing many visitors. This combination of agricultural success, industrial strength, expanding services, and tourism helps West Bengal maintain its position as a key economic player in India.
Rajasthan has a diverse economy supported by agriculture, tourism, and services with a GSDP surpassing ₹17.80 lakh crore (5.0%). The state is known for its agricultural products, such as wheat and mustard, and has a flourishing mineral industry. Rajasthan’s rich cultural heritage draws tourists to famous sites like the Ajmer Sharif Dargah and Jantar Mantar, which boosts the local economy. The state’s strategic location and well-developed infrastructure also facilitate trade and commerce, contributing to further economic growth. This combination of strong agricultural output, thriving tourism, and adequate trade support helps Rajasthan maintain its position as a significant economic player in India.
Telangana has recently emerged as one of India’s wealthiest states due to its strong economic growth with a GSDP surpassing ₹16.50 lakh crore (4.9%). The state boasts a diverse economy with significant contributions from agriculture and industries like pharmaceuticals and textiles. Hyderabad, the capital, is a central IT hub that drives economic activity with its vibrant IT and software industry. Telangana’s growing services sector also adds to its economic strength. The state’s rich cultural heritage and tourism industry also play a key role in its prosperity. Overall, Telangana’s mix of agriculture, industry, IT, and tourism helps maintain its position as a leading economic force in India.
Andhra Pradesh is one of India’s wealthiest states, with a Gross State Domestic Product (GSDP) exceeding ₹15.89 lakh crore (4.7%). The state has a robust industrial base, including textiles, pharmaceuticals, and agriculture-based sectors such as aquaculture and horticulture. The IT sector, bolstered by IT parks and Special Economic Zones (SEZs), is significant in economic growth. Major ports like Visakhapatnam and Kakinada boost trade and enhance the state’s attractiveness for business and investment. Andhra Pradesh’s diverse industries, strong IT sector, and strategic ports contribute to its status as a leading economic hub in India.
Thanks to its abundant natural resources, Madhya Pradesh is one of India’s wealthiest states with a GSDP surpassing ₹15.22 lakh crore (4.5%). The state’s economy is fueled by agriculture, a rich supply of minerals, and a growing industrial sector that includes chemicals and cement. Its cultural heritage also plays a significant role, with UNESCO-listed sites like the Khajuraho Temples drawing tourists and boosting the local economy. Additionally, the state benefits from strategic transport networks and ongoing infrastructure development, which support economic growth. This blend of natural resources, industrial progress, tourism, and infrastructure improvements helps Madhya Pradesh maintain its strong economic position in India.
These states contribute significantly to India’s GDP and exemplify diverse economic strengths in agriculture, industry, and services, driving overall economic growth and development in the country.
The GDP per capita income for Indian states is calculated yearly and made available to the public. This measurement of Indian states by GDP per capita income determines their standard of living. The higher the per capita income value, the higher the living standards in the state will be.
The higher the per capita pay esteem, the higher the expectations for everyday comforts in the state will be.
| State/Union Territory | GSDP (₹ millions) | GSDP (US$ billions) |
|---|---|---|
| Maharashtra | 38,79,000 | 417.2 |
| Tamil Nadu | 28,30,000 | 278.0 |
| Gujarat | 25,62,000 | 265.4 |
| Karnataka | 25,00,000 | 263.5 |
| Uttar Pradesh | 24,39,000 | 265.1 |
| West Bengal | 17,19,000 | 183.1 |
| Rajasthan | 15,70,000 | 163.5 |
| Andhra Pradesh | 14,49,000 | 152.2 |
| Telangana | 14,00,000 | 151.5 |
| Madhya Pradesh | 13,87,000 | 152.5 |
| Kerala | 11,30,000 | 125.2 |
| Haryana | 11,20,000 | 116.9 |
| Delhi | 10,40,000 | 121.4 |
| Odisha | 8,65,000 | 90.1 |
| Bihar | 8,59,000 | 87.3 |
| Punjab | 6,98,000 | 82.4 |
| Assam | 5,67,000 | 55.4 |
| Chhattisgarh | 5,07,000 | 54.6 |
| Jharkhand | 4,23,000 | 48.1 |
| Uttarakhand | 3,33,000 | 36.5 |
| Jammu & Kashmir (UT) | 2,30,000 | 26.8 |
| Himachal Pradesh | 2,14,000 | 23.7 |
| Goa | 1,00,000 | 11.1 |
| Andaman & Nicobar Islands | 89,000 | 2.29 |
| Chandigarh | 49,000 | 3.33 |
| Meghalaya | 46,000 | 0.98 |
| Manipur | 45,000 | 0.91 |
| Sikkim | 42,000 | 5.19 |
| Puducherry | 39,000 | 2.22 |
Unlike the highest GDP state in India, determining which state is the most developed in India involves assessing various factors such as economic growth, Human Development Index (HDI), infrastructure, healthcare, education, and overall quality of life. Development is multidimensional, and different states excel in different aspects. However, based on a combination of these criteria, certain states consistently rank high in development indices:
Determining the “influence” of Indian states is subjective and hinges on the criteria employed for assessment. Factors like economic prowess, population demographics, political sway, cultural importance, and developmental benchmarks collectively shape the perceived influence of a state.
Based on these factors, here are ten states often recognized for their influence in India, though the list is not exhaustive and can vary depending on the criteria:
The condition of the Indian economy is enormous and complex, and it faces numerous valuable opportunities and challenges as it attempts to develop and improve. The country has carried out a few changes to resolve specific issues. However, it likewise faces various monetary difficulties. For example,
Here is a table listing the top 10 Indian states with the highest economies based on their Gross State Domestic Product (GSDP) for the 2023-24 period:
| Rank | State | GSDP (₹ Crore) | Share of India’s GDP (%) |
|---|---|---|---|
| 1 | Maharashtra | 40,44,251 | 13.53% |
| 2 | Tamil Nadu | 27,21,571 | 8.88% |
| 3 | Uttar Pradesh | 25,47,861 | 8.48% |
| 4 | Karnataka | 25,00,733 | 8.42% |
| 5 | Gujarat | 22,03,419 | 8.18% |
| 6 | West Bengal | 17,00,939 | 5.68% |
| 7 | Rajasthan | 15,28,385 | 5.04% |
| 8 | Telangana | 15,01,981 | 4.87% |
| 9 | Andhra Pradesh | 14,39,674 | 4.84% |
| 10 | Madhya Pradesh | 13,63,327 | 4.63% |
Maharashtra leads significantly, followed by Tamil Nadu and Uttar Pradesh, each contributing notably to India’s economic output. These rankings highlight the concentration of economic power in states with large populations and industrial hubs like Maharashtra, Karnataka, and Gujarat.
Sources: India Today, StatisticsTimes
Understanding the GDP of Indian states is pertinent in the UPSC Syllabus, serving as a pivotal gauge of a state’s economic progress. The exam often features inquiries regarding the GDP contributions of different Indian states, their impact on the national GDP, and their comparative economic trends over time. Candidates must demonstrate a comprehensive grasp of factors influencing economic development, including infrastructure, natural resources, human capital, and governmental policies. Familiarity with regional economic inequalities and the measures undertaken by the government to address them is also crucial.
India’s economic growth depends on the contributions of its states, with the state having the highest GDP playing a significant role in the country’s overall development. Each state’s economic performance impacts national progress by creating jobs, attracting investments, and boosting industries. Understanding how different states contribute to GDP can help identify regions with strong growth, potential business opportunities, and the key factors driving economic success. This information allows policymakers, investors, and businesses to make better decisions to support balanced development nationwide.
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According to the latest data, the top 10 richest Indian states by Gross State Domestic Product (GSDP) are:
Maharashtra – ₹42.67 lakh crore
Tamil Nadu – ₹31.55 lakh crore
Karnataka – ₹28.09 lakh crore
Gujarat – ₹27.90 lakh crore
Uttar Pradesh – ₹24.99 lakh crore
West Bengal – ₹18.80 lakh crore
Rajasthan – ₹17.80 lakh crore
Telangana – ₹16.50 lakh crore
Andhra Pradesh – ₹15.89 lakh crore
Madhya Pradesh – ₹15.22 lakh crore
With the greatest GDP, Maharashtra is the wealthiest state in India.
As of the latest data, the city with the highest GDP (Gross Domestic Product) in India is Mumbai. It is followed by cities like Delhi (including New Delhi), Bangalore, Hyderabad, Chennai, and Kolkata.
The top five states by GSDP for FY 2024–25 are Maharashtra (₹42.67 lakh crore), Tamil Nadu (₹31.55 lakh crore), Karnataka (₹28.09 lakh crore), Gujarat (₹27.9 lakh crore), and Uttar Pradesh (₹24.99 lakh crore).
The United States holds the position of the world’s largest economy, with a nominal GDP of approximately $29 trillion. China, Germany and India are ranked second, third and fourth respectively.
As of 2025, Maharashtra leads with an estimated Gross State Domestic Product (GSDP) of over ₹38 lakh crore, driven by strong industries like manufacturing, finance, IT, and entertainment. The state’s capital, Mumbai, serves as India’s financial hub, significantly contributing to its economic dominance.
1. Mumbai
2. Delhi
3. Kolkata
4. Bengaluru
5. Chennai
6. Hyderabad
7. Pune
8. Ahmedabad
9. Surat
10. Visakhapatnam
1. Bihar
2. Jharkhand
3. Uttar Pradesh
4. Chhattisgarh
5. Madhya Pradesh
Authored by, Muskan Gupta
Content Curator
Muskan believes learning should feel like an adventure, not a chore. With years of experience in content creation and strategy, she specializes in educational topics, online earning opportunities, and general knowledge. She enjoys sharing her insights through blogs and articles that inform and inspire her readers. When she’s not writing, you’ll likely find her hopping between bookstores and bakeries, always in search of her next favorite read or treat.
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