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Tamil Nadu Second Economic Survey Highlights
February 19 , 2026
18 hrs 0 min
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- Tamil Nadu Economic Survey was published for the first time in our state last year.
- The global economy grew at 3.3% in 2025.
- India’s economy recorded 6.49% in 2024-25, but increased its growth performance to 7.4% in 2025-26.
- The State’s textile exports account for a major share of Tamil Nadu’s export.
- It is facing headwinds due to the recent 50% hike in the United States’ tariffs.
- Nearly 30% of the State’s textile exports are directed to the U.S. market.
- Tamil Nadu’s per capita income growth has consistently outpaced the national average.
- In 2024-25, per capita income reached ₹3.62 lakh.
- It is 1.77 times higher than the national average of ₹2.05 lakh.
- It is making Tamil Nadu the third-largest State in terms of per capita income.
- Tamil Nadu government has consistently increased its expenditure on the social sector, rising from ₹1,13,268 crore in 2021-22 to ₹1,57,864 crore in 2025-26 (RE).
- Total capital expenditure between 2020-21 and 2025-26 amounts to ₹2.54 lakh crore, reflecting a decisive emphasis on asset creation.
- Its Gross State Domestic Product at current prices reached ₹31.19 lakh crore in 2024-25, reflecting a nominal growth rate of 16% and a real growth rate of 11.2% – the highest among major States.
- According to the Survey, urban inflation in Tamil Nadu declined from 5.2% in 2023-24 to 2.5 % in 2025-26, while rural inflation fell from 5.8% to 2.1%.
- Urban inflation remains the primary driver of overall inflation in the State.
- Among major categories, food inflation declined sharply to -0.003 % in 2025-26, while inflation in clothing and footwear moderated to 1.3%.
- The manufacturing sector recorded a real growth rate of 14.74% in 2024-25, more than three times the all-India average of 4.5%.
- Over the four-year period from 2021-22 to 2024-25, Tamil Nadu led the nation with an average manufacturing growth rate of 9.38%.
- The Economic Survey of India 2025-26 recognises Tamil Nadu as the foremost contributor to India’s manufacturing employment, accounting for 15% of the nation’s total factory workforce.
- In 2024-25, the primary sector contributed 13.4%.to the State’s Gross State Value Added, the secondary sector 33.1% and the services sector contributed 53.6%.
- The services sector also registered strong performance, achieving a double-digit real growth rate of 11.3% in 2024-25.
- Tamil Nadu continues to rank among the top Indian States in attracting foreign direct investment.
- While India’s overall FDI equity inflows declined from $46.03 billion in 2022-23 to $44.42 billion in 2023-24 amid global uncertainty and tighter financial conditions, Tamil Nadu defied the trend.
- The State’s FDI inflows increased steadily from $2,169 million in 2022-23 to $2,436 million in 2023-24, and further to $3,681 million in 2024-25.
- Besides, the State consistently ranks first in exports of electronics, textiles, and leather products, and second in engineering exports.
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