Economy
Tamil Nadu Economic Performance
- Context: Tamil Nadu, which is the second-largest State economy, has sustained a high-growth trajectory, recording a real Gross State Domestic Product (GSDP) growth of 10.83% in 2025-26, following 11.19% in 2024-25.
- This places the State well above the national average of 7.4% and marks two consecutive years of double-digit growth.
Sector-wise Growth
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- Secondary Sector: Main driver, grew 15.02% (vs 6.6% national)
- Manufacturing: 14.22% growth
- Construction: 15.02% growth
- Services Sector: 8.54% growth; contributes 53.54% of GVA
- Primary Sector: Primary sector recorded 5.92% growth in 2025–26, higher than the national average (2.7%)
Industrial Strength
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- Contributes 13.35% to India’s manufacturing GDP
- Over 40,000 factories employing ~25 lakh workers
- Ranks 1st in factory employment
Per Capita Income
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- Increased from ₹2.096 lakh (2020–21) to ₹4.08 lakh (2025–26)
- Second highest in India (after Karnataka)
- Above national average (₹2.196 lakh)
Investment & FDI
- FDI inflows rose from $2,169 million (2022–23) to $3,681 million (2024–25)
- Strong private investments in manufacturing, automobiles, electronics, renewable energy
Infrastructure & Human Capital
- Strong power supply, roads, ports, industrial corridors
- High skilled workforce and technical education base
Export Performance
- Ranked 2nd in Export Preparedness Index (Score: 64.41)
- Major contributor to India’s exports
Inflation Control
- Retail inflation declined from 5.2% to 2.62% (Dec 2025)
- Balanced supply and demand conditions
