India is a country known for its rich cultural heritage and abundant natural resources. Additionally, it is the fifth-largest economy globally. As of the third quarter of 2024, India’s nominal GDP has reached USD 4.112 trillion, indicating an impressive growth rate of 8.4% based on estimates from the Ministry of Statistics.  

Projections from the Ministry of Finance forecast a continued growth of 7.6% in 2024, surpassing the growth rates of major economies such as the US, Russia, and France. This upward trajectory highlights India’s journey towards emerging as a leading economic force on the global stage. 

State-wise contribution of each state to India’s overall GDP

Gross State Domestic Product (GSDP) is a crucial metric that measures the total value of goods and services produced within a state’s borders over a specific period, typically a year. It serves as a key indicator to assess the economic health and growth trajectory of the state, providing insights into the magnitude and direction of its economic development over time. 

The state domestic product is classified into three broad sectors such as primary sector, secondary and tertiary sector. It is compiled by economic activity as per the methodology prescribed by the National Accounts Division, National Statistical Office, Ministry of Statistics & Programme Implemented, Government of India.  

Growth rate and net state domestic period

GSDP of state at Constant price (Base year 2011-12)(In Rs Lakhs)

State/Union Territory 2017-18 2018-19 2019-20 2020-21 2021-22 Contribution to Indian GDP in 2022 2022-23 Growth GSDP in 2023 from previous year 
Maharashtra 188870619 195738075 200466252 185836988 202797104 13.350% N/A N/A 
Gujarat 108656973 118301975 126527733 124111783 137220362 9.033% N/A N/A 
Tamil Nadu 112579344 120466736 124383550 124465002 134328684 8.843% 145332128 8% 
Karnataka 101970817 108510062 114880569 110821175 122971294 8.095% 132631929 8% 
Uttar Pradesh 105639893 109735324 114163019 109316845 120465992 7.930% 130467760 8% 
West Bengal 69498050 73892038 76190077 71123485 78775806 5.186% 85402292 8% 
Rajasthan 62802002 64327828 67678501 66351509 73892163 4.864% 79944925 8% 
Andhra Pradesh 59473653 62661420 64981035 63372029 70488945 4.640% 75433815 7% 
Telangana 55740976 60840139 64096810 60228375 67437077 4.439% 72670742 8% 
Madhya Pradesh 49710165 54327196 56752504 54393478 60068910 3.954% 64312424 7% 
Delhi 54201502 56532692 58616836 54768219 59776466 3.935% 65264936 9% 
Kerala 51618976 55422831 55919418 51170291 57274734 3.770% N/A N/A 
Haryana 48203615 53299604 54427544 51030611 56808606 3.740% 60842026 7% 
Punjab 37540561 39701889 41329463 40726410 43376898 2.856% 46153945 6% 
Odisha 36111668 38673286 39753042 38912541 43295967 2.850% 46385939 7% 
Bihar 34402783 38138253 39832923 36873273 39992978 2.633% 44247256 11% 
Chhattisgarh 22013569 24457916 25132466 24680359 26768086 1.762% 28908241 8% 
Assam 21991937 23103957 24070724 24294583 26252252 1.728% 28919185 10% 
Jharkhand 21058730 22927447 23175539 21948331 24334844 1.602% 25979986 7% 
Uttarakhand 18095612 18608264 18974025 17876352 19341230 1.273% 20710398 7% 
Himachal Pradesh 10940627 11641398 12118696 11755479 12643325 0.832% 13457582 6% 
Jammu & Kashmir U.T. 0 0 11391908 11227348 12472836 0.821% 13471574 8% 
Goa 5265269 5306301 5481154 5336006 5554765 0.366% N/A N/A 
Tripura 3309278 3675396 3806335 3640386 3948668 0.260% 4299733 9% 
Chandigarh 2847968 2986579 3167934 2861846 3028731 0.199% N/A N/A 
Puducherry 2231768 2620889 2637432 2402145 2783352 0.183% N/A N/A 
Meghalaya 2256433 2371885 2492339 2296691 2426676 0.160% 2520850 4% 
Sikkim 1767336 1862497 1949204 1955700 2072805 0.136% 2214446 7% 
Manipur 1875074 1826222 1918718 1807340 2051458 0.135% N/A N/A 
Arunachal Pradesh 1557222 1666838 1914031 1845135 1980053 0.130% N/A N/A 
Mizoram 1475778 1610037 1788426 1642736 1849372 0.122% N/A N/A 
Nagaland 1643983 1686771 1847679 1767309 1836336 0.121% N/A N/A 
Andaman & Nicobar Islands 646445 686699 726574 671487 717247 0.047% N/A N/A 
Jammu & Kashmir* 10662414 11506196 0 0 0 0.000% N/A N/A 
Source: RBI Website, National Statistics Office, Ministry of Statistics and programme implementation, GOI

In 2021-22, Maharashtra has been the top contributor to the Indian GDP with 13.35%. States like Puducherry and Manipur had seen the highest growth rates in India at 15.9% and 13.5%, respectively. States which have seen double-digit growth rates are Andhra Pradesh, Gujarat, Haryana, Jammu and Kashmir UT, Jharkhand, Karnataka, Kerala, Madhya Pradesh, Manipur, Mizoram, Odisha, Puducherry, Rajasthan, Telangana, Uttar Pradesh and West Bengal. The state which has seen the lowest growth rate is Nagaland with 3.9%. 

GSDP Growth Dynamics

GDSP (in lakhs) Base year 2011-12 (at Constant Price)(in Rs lakh)

2021-22 2020-21 2019-20 2018-19 2017-18 
Maharashtra 202797104 Maharashtra 185836988 Maharashtra 200466252 Maharashtra 195738075 Maharashtra 188870619 
Gujarat 137220362 Tamil Nadu 124465002 Gujarat 126527733 Tamil Nadu 120466736 Tamil Nadu 112579344 
Tamil Nadu 134328684 Gujarat 124111783 Tamil Nadu 124383550 Gujarat 118301975 Gujarat 108656973 
Karnataka 122971294 Karnataka 110821175 Karnataka 114880569 Uttar Pradesh 109735324 Uttar Pradesh 105639893 
Uttar Pradesh 120465992 Uttar Pradesh 109316845 Uttar Pradesh 114163019 Karnataka 108510062 Karnataka 101970817 
Source: RBI Website, National Statistics Office, Ministry of Statistics and programme implementation, GOI 

For the last 5 years, Maharashtra has been the largest contributor to India’s GDP, and Gujarat and Tamil Nadu were the second and third most contributors. But their position kept changing over the years. Karnataka and Uttar Pradesh are the fourth and fifth most contributing states. Their position kept changing over the past five years. 

Growth in states Year on Year (at constant price)

States 2021-22 2020-21 2019-20 2018-19 
Maharashtra 9.1% -7.3% 2.4% 3.6% 
Gujarat 10.6% -1.9% 7.0% 8.9% 
Tamil Nadu 7.9% 0.1% 3.3% 7.0% 
Karnataka 11.0% -3.5% 5.9% 6.4% 
Uttar Pradesh 10.2% -4.2% 4.0% 3.9% 
Source: RBI Website, National Statistics Office, Ministry of Statistics and programme implementation, GOI 

Over the past five years, the top 5 states have been growing significantly in their GDSP output but in 2020-21 all four states had a negative growth. Except for Tamil Nadu which had kept its number positive. The states have underperformed due to COVID–19. 

India’s GDP Growth: 

The Real GDP, or GDP at constant prices, for the fiscal year 2021-22 is estimated at Rs 146.36 lakh crore, compared to Rs 135.58 lakh crore for the previous fiscal year 2020-21. This indicates a growth rate of 8.7% for 2021-22, a significant recovery from the 6.6% contraction observed in 2020-21 due to the impact of COVID-19.

In 2018-19, the GSDP of Maharashtra at current price terms was USD 344,111 million. This is more than countries like Qatar, Israel, Portugal, Norway, Denmark, Kuwait and many more.  

List of Cities in India with the highest GDP: 

Mumbai stands as India’s financial powerhouse, fueled by its robust financial sector, thriving ports, and the influential Bollywood industry. Delhi serves as the political nerve center, while satellite cities like Noida and Gurugram bolster its economic stature. In the south, Bengaluru and Chennai have risen as prominent IT and manufacturing hubs, respectively. Hyderabad commands a significant presence in pharmaceuticals, vaccines, and IT, attracting substantial investments exceeding $3 billion from major companies such as Novartis, BMS, Sanofi, and Roche. These investments have also translated into job creation, with Hyderabad alone generating over 450,000 jobs in the last seven years.  

Surat and Ahmedabad drive their economies through textile, chemicals, and machinery sectors, with Gujarat witnessing substantial foreign direct investment (FDI) amounting to Rs 2.39 lakh crore from December 2019 to December 2023.

Conclusion  

The state’s Gross State Domestic Product (GSDP) measures the monetary value of goods and services produced within the state’s borders over the year. Maharashtra has consistently held a leading position in contributing to India’s GDP, with Mumbai standing out as the top city in terms of its contribution to the country’s GDP. Let’s wait and watch for the upcoming.