Tamil Nadu records double-digit economic growth after 14 years, exceeding budget forecasts

Tamil Nadu has achieved a double-digit economic growth rate of 11.19% in real terms for 2024-25, according to revised Union Ministry of Statistics and Programme Implementation estimates. This marks the first time in 14 years the state has reached such a figure, last seen in 2010-11, with the DMK in power on both occasions. The growth, exceeding the state budget's 9% forecast, is primarily driven by strong performance in the tertiary and secondary sectors. With an estimated per capita income of ₹3,61,619, Tamil Nadu ranks third among major states. This trajectory positions the state to achieve its target of a trillion-dollar economy by 2031-32, with anticipated improvements in fiscal indicators.

Key Points

  • Tamil Nadu recorded a significant double-digit economic growth of 11.19% in real terms for the fiscal year 2024-25.
  • This achievement is the first such instance in 14 years, surpassing the state's own budget forecast of 9% growth.
  • The growth is primarily attributed to robust performance in the tertiary and secondary sectors of the economy.
  • Tamil Nadu ranks third among major states in per capita Net State Domestic Product (NSDP) at current prices.
  • The state is on track to achieve its goal of becoming a trillion-dollar economy by 2031-32, with positive implications for fiscal indicators.

Exam Facts

  • Growth rate: 11.19% (2024-25), 13.12% (2010-11).
  • Base year for current estimates: 2011-12.
  • Per capita NSDP (2024-25): ₹3,61,619 (ranked third).
  • Trillion-dollar economy target: By 2031-32.

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All current affairs of 6 August 2025