A broad-based development model, Pg7

Key Highlights:

• Tamil Nadu's GSDP grew by 16% in 2024-25, reaching ₹31.19 lakh crore, the fastest among major states.
• The state's manufacturing sector has seen significant growth, with a ₹1.46 lakh crore increase over four years.
• Tamil Nadu leads in exports of electronics, textiles, and leather, with total merchandise exports reaching $52.07 billion in 2024-25.
• The state attracted $3.681 billion in FDI inflows in the last year, reflecting strong investor confidence.
• Tamil Nadu has a low infant mortality rate of 12 per 1,000 live births and a low multidimensional poverty rate of 1.43%.
• The state's Gross Enrolment Ratio (GER) in higher education is 47%, the highest in India.

Detailed Insights:

• Tamil Nadu's economic success is driven by a diversified economy, robust infrastructure, and progressive governance, making it a national leader in inclusive growth.
• The state's manufacturing GSDP growth significantly outpaces other industrial states like Maharashtra, driven by its large number of factories and factory workers.
• The services sector contributes significantly to the state's GVA, with sub-sectors like real estate and public administration showing double-digit growth.
• Tamil Nadu boasts the largest number of technical institutions in India, producing a skilled workforce that attracts multinational corporations and supports innovation.
• The state's extensive industrial integration is highlighted by the coverage of every district under one or more industrial corridor projects.
• Welfare schemes focused on education, health, and women's empowerment contribute to the state's low infant mortality rate and multidimensional poverty.
• Despite a decline in central transfers, Tamil Nadu maintains fiscal stability with a projected fiscal deficit of 3% of GSDP in 2025-26 BE.

Key Concepts Involved:

• GSDP (Gross State Domestic Product): The total value of goods and services produced within a state's boundaries in a specific time period.
• FDI (Foreign Direct Investment): An investment made by a firm or individual in one country into business interests located in another country.
• GER (Gross Enrolment Ratio): The total enrolment in education, regardless of age, expressed as a percentage of the eligible official school-age population.