Top 10 Indian States With Fastest Growth In Per Capita Income
In the backdrop of an evolving economic landscape, India has witnessed a substantial surge in per capita income over the past decade. As the nation's overall per capita income escalated from Rs 70,983 in FY13 to Rs 1.72 lakh in FY23, some states have showcased exceptional growth, outpacing the national average significantly. Data retrieved from CMIE and PIB underscored the remarkable strides made by several states, propelling them to the forefront of economic expansion.
Karnataka emerges as the frontrunner, boasting an astounding 294% surge in per capita income, leaping from Rs 76,578 in FY13 to an impressive Rs 3.02 lakh in FY23. This exceptional growth catapulted the state to the pinnacle, exhibiting a robust Compound Annual Growth Rate (CAGR) of 14.7%.
Following closely, Telangana witnessed a remarkable 262% rise in per capita income, soaring from Rs 85,169 in FY13 to Rs 3.09 lakh in FY23, underlining a decade-long CAGR of 13.7%. The southern states' economic resurgence showcases a trend in this region's proactive economic policies and industrial advancements.
Madhya Pradesh, once part of the BIMARU states category, has undergone a significant transformation, marking a phenomenal 224% growth in per capita income. From Rs 43,426 in FY13, it surged to Rs 1.41 lakh in FY23, recording a notable CAGR of 12.5%. Odisha, previously considered a less economically developed state, also demonstrated robust growth, witnessing a 206% increase in per capita income, reaching Rs 1.51 lakh in FY23 from Rs 49,227 in FY13, with a CAGR of 11.84%.
The economic landscape has seen a paradigm shift with states like Assam, Andhra Pradesh, Gujarat, Tamil Nadu, Kerala, and Rajasthan showcasing noteworthy growth in their per capita incomes. Their CAGRs ranged from 10.71% to 11.77%, leading to significant economic leaps over the last decade.
Conversely, Bihar, Punjab, and Jharkhand emerged with comparatively slower growth rates in per capita income, witnessing CAGRs ranging from 7% to 7.7%. Despite their growth rates trailing the national average, these states remain integral to India's economic fabric.
The accelerated growth in per capita income across various states signifies their proactive measures, encompassing policy reforms, industrial development, and infrastructure enhancement. The remarkable turnaround of states previously categorized as economically challenged is a testament to their resilience and strategic economic planning, marking a pivotal shift in India's economic dynamics.
These advancements not only bridge the economic disparities among states but also contribute to India's overall economic landscape, fostering a more inclusive and balanced growth trajectory.
While celebrating the achievements of these states, it's crucial to recognize the challenges that remain and address them to ensure sustained growth, inclusivity, and equitable development across the nation. The impressive strides made by these top states serve as an inspiration, setting the tone for others to follow suit and contribute to India's journey towards a more prosperous and equitable future.