Exceptional growth after over a decade
Tamil Nadu records rare double digit surge in real growth: For the first time in 14 years, Tamil Nadu has achieved double-digit real economic growth, posting a robust 11.19% rise in 2024-25, as per revised figures from the Union Ministry of Statistics and Programme Implementation. This performance surpassed the State Budget’s growth projection by almost 2.2 percentage points.
The last comparable achievement came in 2010-11, when the State clocked 13.12% growth. Interestingly, both milestones occurred under a DMK government. The current figures are calculated using the 2011-12 base year, whereas the 2010-11 estimates used 2004-05 as the base year.
Sectors powering the rise
A significant portion of this growth came from strong activity in the services (tertiary) and industrial (secondary) sectors. Initial advance estimates released five months earlier had projected Tamil Nadu’s real growth at 9.69%, but the updated data reflects an improvement of nearly 1.5 percentage points.
Static GK fact: The services sector includes trade, transport, communication, banking, and IT services, while the industrial sector covers manufacturing, construction, and power generation.
Outperforming other States
With the latest numbers, Tamil Nadu is currently the only State to cross the 10% real growth threshold in 2024-25. Figures for Goa, Gujarat, and four northeastern States are yet to be released.
The nominal Gross State Domestic Product (GSDP) for the year had been conservatively projected to grow by 14.5%, based on an assumption of 9% real growth and 5% inflation. Actual real growth has outpaced this target considerably.
Key financial indicators
At constant prices (base year 2011-12), the State’s GSDP for 2024-25 is estimated at ₹17,32,189 crore, compared to ₹15,57,821 crore in 2023-24. The revised numbers also show stronger growth for 2023-24, revised upward from 8.23% to 9.26%, while the 2022-23 estimate was lowered from 8.13% to 6.17%.
Static GK fact: GSDP is the total value of all goods and services produced within a State over a given year, serving as a key economic indicator at the State level.
In terms of per capita Net State Domestic Product (NSDP) at current prices, Tamil Nadu holds the third position among major States in 2024-25, with ₹3,61,619, behind Telangana (₹3,87,623) and Karnataka (₹3,80,906).
Economic importance
This growth reinforces Tamil Nadu’s position as a key economic powerhouse in India. Its manufacturing hubs, thriving IT corridors, and infrastructure investments have contributed to this momentum, alongside strong consumer demand and export performance.
Static GK Tip: Tamil Nadu is among India’s top automobile, textile, and electronics manufacturing States, contributing significantly to national exports.
Static Usthadian Current Affairs Table
Tamil Nadu records rare double digit surge in real growth:
| Fact | Detail |
| Real growth rate 2024-25 | 11.19% |
| Last double-digit growth | 2010-11 (13.12%) |
| Base year for calculations | 2011-12 |
| Main growth sectors | Tertiary and secondary |
| Nominal GSDP growth projection 2024-25 | 14.5% |
| GSDP at constant prices 2024-25 | ₹17,32,189 crore |
| GSDP at constant prices 2023-24 | ₹15,57,821 crore |
| Per capita NSDP (Tamil Nadu) 2024-25 | ₹3,61,619 |
| Rank in per capita income among major States | 3rd |
| States ahead in per capita income | Telangana, Karnataka |
