Delhi Tops States in Own Revenue Share at 93.2%

For the FY25 BE estimates, Delhi had the largest percentage of its own revenues as a proportion of total revenue collections among states and Union Territories with available data, at 93.2 percent. This conclusion is drawn from the Business Standard’s India State Fiscal Health Tracker using the Reserve Bank of India’s 2025 Handbook of Statistics on Indian States. In the rankings, Haryana, Telangana, Karnataka, and Tamil Nadu came after Delhi. At the other extreme was Manipur with 10 per cent of own revenues.

Delhi Leads the Own Revenue Ranking

Delhi topped the ranking with an own revenue share of 93.2 per cent, significantly ahead of the other leading states and UTs.

The top five were,

Delhi’s figure was 17.7 percentage points higher than Haryana’s and 17.7 percentage points above fifth-ranked Tamil Nadu.

Manipur Records the Lowest Share

At the bottom of the ranking was Manipur, with own revenue accounting for just 10 per cent of total revenue receipts.

The bottom five were,

The difference between Delhi and Manipur was 83.2 percentage points, underlining the sharp variation in own-source revenue across the states and UTs covered.

What Does Own Revenue Mean?

Own revenue tells us the proportion of the state’s total revenue receipts that come from revenue generated internally by the state. Own revenue is an addition of own tax revenue and own non-tax revenue.

Own tax revenue refers to the taxes earned by the state, whereas own non-tax revenue may include fees, royalty, dividends, and other user charges.

A larger number is usually an indication of the higher dependence of the state on its own sources of revenue in comparison to transfers like share of central taxes and grants from the Union government.

How is Own Revenue Calculated?

Fiscal health tracker uses the following formula for calculation of the indicator:

Own Revenue Share = (Own Tax Revenue + Own Non-Tax Revenue) ÷ Revenue Receipts × 100

Expressing the indicator as a percentage helps in making comparisons between states and UTs that have vastly differing economic and budget sizes.

Nevertheless, the indicator cannot be used alone as an indicator of fiscal health. A larger own revenue share does not necessarily mean a good taxation system and provision of public goods.

Why do these Numbers Matter?

Self-sufficiency in revenues is important to understand state finances since it determines to what extent a state can earn money from its resources.

Moreover, economic profile and revenues vary greatly across states, and therefore, this ranking should be assessed in the context of other fiscal metrics like fiscal deficit, debt, revenue deficit, guarantees, interest payments, pension payments, and capital expenditure.