India is the second-most populated nation in the world and the seventh-largest by land area. It is situated in the furthest south of Asia. One of the most populated nations in the world, India, saw a growth in population from 361 million in 1951 to over 1.211 billion in 2011.
This was a significant increase, and over the same period, the nation’s per capita income increased nominally from US$64 to roughly US$1,498. It saw a substantial improvement in literacy rates from around 16.6% to 74% as one of the newly emancipated states. Given how little emphasis most developing nations place on human capital, it is pretty audible.
The bulk of India’s 28 states and eight union territories have shown real strength in individual competitiveness. Based on this assumption, we will examine a few Indian conditions that have excelled in administrative prowess and demonstrated incredible endurance in management and growth, making them the wealthiest states in the nation based on fiscal capacity.
Top 10 richest states of India based on their GSDP
1. Maharashtra
The wealthiest state in India is Maharashtra. Mumbai, the state capital, is the nation’s economic center. Maharashtra’s GSDP was projected to reach Rs. 26.62 trillion ($366.67 billion) in 2020–21. With 45% of the population residing in cities, it is the third most populated state in the nation. India’s most prosperous state is Maharashtra.
Some of India’s major firms are headquartered in Maharashtra, with the most well-known sectors being manufacturing, mass media, international trade, petroleum, technology, aerospace, tourism, fashion, and apparel.
2. Tamil Nadu
Tamil Nadu, the second-richest state in India, is situated on its southern coast, close to the Indian Ocean. The manufacturing sector is essential to Tamil Nadu’s economy. The GSDP of this state was 19.43 trillion rupees ($265.49 billion). 9.6% of the nation’s urban population resides there. Forty-five per cent of the state’s GDP comes from the service sector, 34 percent from industry, and 21 per cent from agriculture. Some of the most noteworthy initiatives in this sector are leather products, engineering, chemicals, clothing, textiles, apparel, automobiles, and auto components. Trade is vital to this state, with three major ports, 15 minor ports, eight airports, and a robust rail and road network.
3. Gujarat
In the next fiscal year, Gujarat’s GSDP is projected to be Rs. 18,79,826 crore (US$ 259.25 billion). The primary industries and sources of income in this state in western India are agriculture and industries. The largest shipbreaking facility in the world is situated in Alang, Gujarat, not far from Bhavnagar. In Jamnagar, Gujarat, Reliance Petroleum also has a refinery. Gujarat is a significant producer of tobacco, cotton, and almonds. One-third of all medicines made in India are made in Gujarat.
Gujarat ranks third in the world for denim production and first for processed diamond production. Gujarat has 42 ports, 18 domestic and one international airport, making it an important center for business and transportation.
4. Karnataka
According to Ground Report, Karnataka’s GSDP has grown more quickly than any other Indian state during the past ten years. To the west, the Arabian Sea divides the state from the rest of the nation. The various sectors that support the state’s economy are engineering, biotechnology, agribusiness, information technology, clothing, textiles, food processing, and cars. India’s IT powerhouse Karnataka is the location of the fourth-largest technological cluster worldwide.
The revised GSDP for Karnataka in 2020–21 was Rs. 18.03 trillion (US$ 247.38 billion) at current exchange rates.
5. Uttar Pradesh
India’s fourth most prosperous state is Uttar Pradesh. Gross State Domestic Product (GSDP) for Uttar Pradesh was Rs. 17.06 trillion ($234.96 billion). Numerous cities in Uttar Pradesh have experienced tremendous growth, including Noida and Ghaziabad. Here, several companies have opened branches. Agriculture, handicrafts, and handloom are essential sources of income for the state’s citizens.
The state’s economy depends heavily on industrial products and agriculture. One of the world’s leading producers of food grains, Uttar Pradesh also produces lentils, rice, maize, wheat, gramme, peel, and millet.
6. West Bengal
One of India’s wealthiest states is West Bengal. It lies in the east of the nation and has borders with Bangladesh, Nepal, and Bhutan. The state is crucial for international trade with its neighbours because of its location. In addition to being the second-largest producer of tea in India, West Bengal is also a significant grower of fish and cereals. As a result, the state’s economy dramatically benefits from agricultural and food production. The state has had yearly growth of more than 12% over the preceding six years. At current exchange rates, West Bengal’s GSDP is expected to reach Rs 14.44 trillion (US$ 206.64 billion) in 2020–21.
7. Rajasthan
Rajasthan’s GSDP in 2020–21 was Rs 11.98 trillion ($161.37 billion). Regarding area, Rajasthan is the largest and one of the wealthiest states in India. The state is located in the northwest of the continent. It contains several minerals. The local economy is mainly supported by mining, agriculture, and tourism. The state possesses lignite, rock phosphate, sandstone, limestone, marble, silver, gold, and copper deposits. It is the second-largest state for cement production in India. Rajasthan is a well-liked tourist destination due to its extensive history.
8. Telangana
The GSDP of Telangana is US$157.35 billion. India’s newest state, Telangana, was created in 2014 when it broke away from Andhra Pradesh. The state’s capital, Hyderabad, is situated in southern India. The information technology and pharmaceutical sectors are based in the state capital. Agriculture, tourism, and mining are the most critical industries in the remainder of the state. One of the top exporters of IT in the nation, this state has 68 special economic zones.
9. Andhra Pradesh
The total GSDP of Andhra Pradesh is US$138.19 billion. The foundation of the neighborhood economy is agriculture. Sixty-two per cent of the population works in agriculture directly or indirectly. The World Bank claims that this state in India is the best for starting a business. 70% of the shrimp in India are grown in this state. The port infrastructure, the IT sector, good connectivity options, the airport, and sufficient power are further factors that support Andhra Pradesh’s thriving economy.
10. Madhya Pradesh
The Gross State Domestic Product (GSDP) for Madhya Pradesh in 2020–21 was 126.40 billion US dollars at current exchange rates. The GSDP of the state rose at a CAGR of 13.78% during the preceding five years. One of India’s growing, quickest conditions in Madhya Pradesh, located in the country’s center. The region’s wealth of natural resources, including fuel, minerals, and agricultural products, contributes to its prosperous economy. Additionally, the state is widely renowned for producing honey—India’s second-largest state in terms of area and fifth-largest in terms of population Madhya Pradesh.
Wrapping Up
So, this was the list of India’s top 10 richest states based on their GSDP. Stay tuned with us for more information.
