Maharashtra Posts Slowest GSDP Growth Among Big 4, Still Remains Largest State Economy

Maharashtra continues to hold its position as India’s largest state economy, with its Gross State Domestic Product projected to reach ₹42,67,771 crore in 2024–25, as per PTI report.  

However, economic data from recent years shows that the state has expanded at a slower pace than other major state economies since the pandemic period. 

Growth Comparison Among Major States 

Between 2021–22 and 2024–25, Maharashtra’s GSDP increased by roughly 43%, rising from ₹29,81,024 crore to ₹42,67,771 crore. While the state added about ₹12.86 lakh crore to its economy during this period, the percentage growth was lower than that recorded by the other large state economies. 

Karnataka registered the fastest expansion, with its GSDP projected to grow from ₹17,02,227 crore in 2021–22 to ₹28,09,063 crore in 2024–25, representing growth of nearly 65%. The state’s strong technology and services sector centred around Bengaluru has been a major driver of this rise. 

Gujarat followed with growth of nearly 48%, increasing its GSDP from ₹18,79,826 crore to ₹27,90,000 crore, supported by its industrial and manufacturing base. Tamil Nadu recorded growth of around 47%, with its GSDP expanding from ₹21,36,351 crore to ₹31,55,096 crore, making it the closest competitor to Maharashtra in terms of overall economic size. 

Maharashtra’s Economic Lead 

Despite the slower growth rate, Maharashtra remains well ahead of its peers in absolute economic scale. Its projected 2024–25 GSDP is over ₹11 lakh crore larger than Tamil Nadu’s, over ₹14 lakh crore ahead of Gujarat, and more than ₹15 lakh crore higher than Karnataka. 

The 4 states, Maharashtra, Tamil Nadu, Karnataka and Gujarat are widely regarded as the main engines of India’s economic activity.  

As per news reports, Karnataka, Gujarat and Tamil Nadu have benefited from substantial investments and the expansion of homegrown businesses and startups. In contrast, some analysts believe that investments made in Maharashtra during the same period have not yet fully translated into economic output. 

Read More: 25,000 Mumbai Housing Societies May Finally Get Long Pending Occupation Certificates! 

Conclusion 

While Maharashtra continues to dominate in overall economic size, faster expansion in other major states highlights shifting growth momentum within India’s largest regional economies. 

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