Bihar's Economy Hits Record ₹9.9 Lakh Crore GSDP, Powered by Manufacturing Surge

Bihar’s economy expanded sharply in 2024–25, with Gross State Domestic Product crossing ₹9.9 lakh crore at current prices.  

Growth of 13.1% at current prices and 8.6% at constant prices outpaced India’s national GDP growth of 9.8% and 6.5% respectively, according to the Economic Survey 2025–26. 

Structural shift driven by secondary sector 

The secondary sector’s contribution to Gross State Value Added rose to 26.8% in 2024–25 from 21.1% in 2020–21. Manufacturing and construction led this rise.  

The sector grew at 11.1% at constant prices, higher than the tertiary sector’s 8.9% and primary sector’s 4.1%. 

Government spending shifts toward capital investment 

Total state expenditure rose to ₹2.82 lakh crore in 2024–25 from ₹2.52 lakh crore the previous year. Capital expenditure share increased to 22.3% from 15.8% in 2020–21. Revenue receipts reached ₹2.18 lakh crore, with tax revenue accounting for 84%. 

Agriculture and infrastructure developments 

Rice, wheat, and maize production rose by 4.3%, 7.1%, and 12.6% respectively between 2023–24 and 2024–25. Electricity subsidy for agriculture rose to ₹4,056.99 crore.  

Irrigation spending rose 63.1% to ₹2,729.83 crore. Road connectivity investments total ₹70,560 crore over 15 years. Airway contributions to GSVA rose to ₹453 crore. The Patna Metro project, approved at ₹13,365.77 crore, covers 32.5 km across two corridors. 

Per capita income and sectoral trends 

Per capita GSDP at current prices rose to ₹76,490 in 2024–25 from ₹66,828 in 2023–24. Primary sector’s share fell to 18.3% while tertiary sector’s share declined to 54.8%. 

Read More: Goldman Sachs Lifts India’s CY26 GDP Growth to 6.9% After US–India Trade Deal! 

Conclusion 

Bihar’s economy registered higher growth than the national average, supported by increased capital spending, a rising secondary sector, and improved agricultural output. Infrastructure and revenue receipts also expanded during the period. 

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