Telangana Tops India in Per Capita Income

• 06 Sep 2025

Telangana has emerged as the state with the highest per capita income (PCI) in India for 2024-25, surpassing Karnataka and Haryana, marking its first top position in five years.

Key Points

• Per Capita NSDP: Telangana’s per capita Net State Domestic Product (NSDP) stands at ₹3.87 lakh, ahead of Karnataka (₹3.8 lakh) and Haryana (₹3.5 lakh).
• Consistent Growth:The state has maintained an average growth rate of over 10% in per capita income over the past decade, with nearly 12% growth in the last two years despite nationwide slowdowns.
• Agricultural Backbone: Commercial crops like cotton and horticulture are credited as the backbone of rural economic growth, driving market activity and contributing significantly to NSDP.
• Decadal Transformation: Per capita income has more than tripled in a decade (from under ₹1 lakh to over ₹3.8 lakh), while overall NSDP rose from ₹13.47 lakh (2023-24) to ₹14.87 lakh (2024-25).
• Diversified Growth: The state’s success is attributed to a combination of agricultural strength, industrial expansion, and service sector growth, making it a dynamic economic benchmark.

Net State Domestic Product

• Definition: NSDP measures the total value of goods and services produced within a state after deducting depreciation of capital assets.
• Formula: NSDP = Gross State Domestic Product – Depreciation.
• Significance: Unlike GSDP, NSDP reflects a clearer picture of sustainable economic output and the financial well-being of people in a state.