Telangana records third highest GSDP increase in India for 2023-24

Report acknowledges State’s growth under BRS regime

Hyderabad: Notwithstanding naysayers and political mudslingers, Telangana’s performance under the previous BRS regime is being reflected in the latest statistics as well, proof of which was that in 2023-24, Telangana’s Gross State Domestic Product (GSDP) at current prices was Rs 14.64 lakh crore, which increased by 11.9 per cent, marking the third largest increase in the country.

Only Tamil Nadu and Uttar Pradesh could outperform Telangana among the major States with a GSDP growth rate of 14.2 per cent and 12.8 per cent respectively in 2023-24.

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According to the latest Socio Economic Outlook 2024 tabled in the Assembly, the Per Capita Income (PCI) at current prices in Telangana is Rs 3.47 lakh, which is Rs 1.64 lakh higher than the national per capita income of Rs 1.83 lakh in 2023-24. The PCI of 16 of 33 districts in the State is higher than the national average. Telangana has seen a rise in PCI from Rs 1,24,104 in 2014-15 to Rs 3,47,299 in 2023-24. However, during the same period, the per capita debt rose from Rs 20,251 to Rs 1,76,360.

Telangana’s economy is growing year on year, with the State navigating economic challenges while maintaining a positive trend. Over the years, Telangana’s contribution to India’s GDP has shown a steady increase. In 2021-22, Telangana accounted for 4.8 per cent of the national GDP. This share rose to 4.9 per cent in 2022-23 and further to 5 per cent in 2023-24.

The Service sector has been the primary contributory to the State’s economic growth, followed by Industrial, and Agriculture and Allied sectors. According to the Advance Estimates for 2023-24, the Service sector accounted for 65.7 per cent of Telangana’s GSVA (Gross State Value Added) at current prices. The Service sector’s contribution to India’s overall GDP was 54.9 per cent at current prices, highlighting Telangana’s significant outperformance compared to the national average.

Further, the Industrial sector, including mining and quarrying, contributed 18.5 per cent, and the Agriculture and Allied sector contributed 15.8 per cent to the State’s economic growth. Compared to previous fiscal (2022-23), the Services sector witnessed a remarkable 14.6 per cent increase in GVA (Gross Value Added) at current prices in 2023-24. The Industrial sector achieved a growth of 10.1 per cent.

Telangana’s Agriculture and Allied sectors achieved a year-on-year growth in GVA at current prices of 4 per cent between 2022-23 and 2023-24. Since the sector employs 47.3 per cent of the State’s population, its economic success is crucial to improving the living standards in Telangana.