Tamil Nadu records 10.83% growth, second straight year in double digits; beats national average

Tamil Nadu recorded 10.83% real economic growth in 2025-26, marking its second consecutive year of double-digit expansion, surpassing the national average and driven by strong industrial and services performance.

Coimbatore:

Tamil Nadu has recorded a real economic growth rate of 10.83 percent for 2025-26, marking the second consecutive year of double-digit expansion under the leadership of Chief Minister MK Stalin.

The State had registered a higher growth rate of 11.19 percent in 2024-25. The latest figure is expected to be among the highest in the country, although complete data for several States is yet to be released by the Union Ministry of Statistics and Programme Implementation.

Tamil Nadu’s growth significantly exceeds the national average of 7.4 percent, highlighting its strong economic performance. Over a five-year period from 2021-22 to 2025-26, the State has achieved an average annual growth rate of 9.07 percent, a notable improvement compared to previous periods.

The Gross State Domestic Product (GSDP) at current prices rose to ₹35.29 lakh crore in 2025-26 from ₹31.19 lakh crore in 2024-25, reflecting a nominal growth rate of 13.16 percent. This growth trend has been supported by consistently high nominal growth rates in recent years.

Sector-wise, the secondary sector emerged as the key driver, recording around 15 percent growth. The services sector grew by approximately 8.5 percent, while the primary sector recorded about 6 percent growth. Agriculture, which had seen negative growth in the previous two years, showed a recovery with nearly 9 percent growth in 2025-26.

Tamil Nadu’s per capita income at current prices has reached ₹4.08 lakh, placing it among the top States in the country.

Officials noted that the sustained growth trajectory reflects a strong industrial base, improved infrastructure, and policy measures focused on inclusive and sustainable development.

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