Tamil Nadu’s Gross State Domestic Product (GSDP) grew by 8.23% in the fiscal year 2023-24 at constant prices, slightly surpassing the national GDP growth rate of 8.15% for the same period. In the previous fiscal year, 2022-23, the state’s GSDP growth was 8.13%, compared to the national average of 6.99%.
At current prices, Tamil Nadu’s GSDP was estimated at ₹27,21,571 crore in 2023-24, up from ₹23,93,364 crore in 2022-23. The state’s per capita income also saw an increase, reaching ₹1,79,732 in 2023-24 from ₹1,66,590 in the previous year. Notably, Tamil Nadu’s per capita income is approximately 1.68 times higher than the national average, which was ₹1,06,744 in 2023-24.
In terms of sectoral contributions, the services sector led with a growth of 9.4%, followed by manufacturing at 7.1%, and agriculture at 4.3% in 2023-24. The services sector contributed 53% to the state’s economy, manufacturing 34%, and agriculture 13%.
Regarding inflation, Tamil Nadu maintained a rate of 5.37% in 2023-24, slightly below the national rate of 5.38%. The state’s GSDP as a proportion of the national GDP increased from 8.88% in 2022-23 to 9.21% in 2023-24 at current prices.
Tamil Nadu’s economic performance in the fiscal year 2023-24 has been noteworthy, with the state’s Gross State Domestic Product (GSDP) growing by 8.23% at constant prices, slightly surpassing the national GDP growth rate of 8.15% during the same period.
Sectoral Contributions:
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Services Sector: The services sector experienced a robust growth of 9.4% in 2023-24, contributing 53% to the state’s economy. Key drivers within this sector included:
- Transport, Storage, and Communication: 8.76% growth
- Financial Services: 9.29% growth
- Real Estate: 10.08% growth
- Other Services: 9.96% growth
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Manufacturing Sector: The manufacturing sector grew by 7.1%, accounting for 34% of the state’s economy. Notably, the manufacturing sub-sector, which makes up nearly 65% of the secondary sector, saw growth rates of 9.29% in 2022-23 and 6.37% in 2023-24 at constant prices.
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Agriculture Sector: Agriculture grew by 4.3% and contributed 13% to the state’s economy. Within this sector, the livestock sub-sector was significant, accounting for 49.03% of the primary sector’s Gross Value Added (GVA) in 2023-24.
Per Capita Income:
Tamil Nadu’s per capita income has been consistently higher than the national average. In 2023-24, the state’s per capita income was estimated at ₹1,79,732 at constant prices, compared to the national average of ₹1,06,744. At current prices, Tamil Nadu’s per capita income was ₹3,15,220, while the all-India per capita income stood at ₹1,84,205. This indicates that Tamil Nadu’s per capita income is approximately 1.71 times higher than the national average.
Inflation Rates:
The state managed to keep its inflation rates slightly below the national average. In 2023-24, Tamil Nadu’s inflation rate was 5.37%, compared to the all-India rate of 5.38%.
Comparative Economic Performance:
Over the past few years, Tamil Nadu has demonstrated a notable improvement in its economic performance. The average economic growth rate was 5.80% in real terms from 2012-13 to 2020-21. However, the growth rates for 2021-22, 2022-23, and 2023-24 were 7.89%, 8.13%, and 8.23% respectively at constant prices, resulting in an average growth rate of 8.08% in recent years.
These figures underscore Tamil Nadu’s consistent economic performance, with its growth rates in recent years surpassing national averages.
