India continues to strengthen its position as one of the world’s fastest-growing major economies in FY 2024–25. According to official estimates, India’s real GDP is projected to grow by 7.4%, reflecting strong domestic demand, infrastructure push, and resilient state-level performance.
At the heart of this growth are India’s states and Union Territories (UTs), whose Gross State Domestic Product (GSDP) plays a crucial role in shaping the national economy.
What is GSDP?
Gross State Domestic Product (GSDP) measures the total economic output of a state or Union Territory. It is similar to GDP but calculated at the state level. Higher GSDP generally indicates a larger and more diversified economy.
Top 10 Richest States/UTs by GSDP (FY 2025, Current Prices)
| Rank | State / UT | GSDP (₹ Lakh Crore) | Key Economic Drivers |
|---|---|---|---|
| 1 | Maharashtra | 45.32 | Finance, Manufacturing, Services |
| 2 | Tamil Nadu | 31.19 | Automobiles, Manufacturing, IT |
| 3 | Uttar Pradesh | 29.78 | Infrastructure, Agriculture, Industry |
| 4 | Karnataka | 28.84 | IT, Startups, Biotechnology |
| 5 | West Bengal | 18.15 | Agriculture, Manufacturing, Trade |
| 6 | Rajasthan | 17.04 | Mining, Tourism, Renewable Energy |
| 7 | Telangana | 16.41 | IT, Pharma, Services |
| 8 | Andhra Pradesh | 15.93 | Agriculture, Ports, Industry |
| 9 | Madhya Pradesh | 15.03 | Agriculture, Manufacturing |
| 10 | Delhi | 12.15 | Services, Trade, Administration |
States & UTs with the Smallest GSDP (FY 2025)
While these states and UTs are economically smaller in total size, it is important to note that many have small populations.
| Rank (Lowest) | State / UT | GSDP (₹ Crore) |
|---|---|---|
| 1 | Arunachal Pradesh | 4,423 |
| 2 | Tripura | 8,968 |
| 3 | Himachal Pradesh | 23,169 |
| 4 | Jammu and Kashmir | 26,246 |
| 5 | Uttarakhand | 37,824 |
| 6 | Jharkhand | 51,626 |
| 7 | Chhattisgarh | 56,788 |
| 8 | Assam | 64,367 |
| 9 | Punjab | 83,864 |
| 10 | Odisha | 89,004 |
Key Takeaways
- Maharashtra remains India’s largest state economy.
- Uttar Pradesh has moved to the third position.
- Southern states dominate the top rankings.
- Smaller northeastern states and UTs have lower total GSDP due to population and geographic factors.
- India’s overall economic growth continues to remain strong at over 7%.
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