Maharashtra’s GDP and Income Drop for First Time in a Decade, Gujarat Gains: EAC Report
Maharashtra’s GDP and Income Drop for First Time in a Decade, Gujarat Gains: EAC Report
A report from the Economic Advisory Council (EAC) to Prime Minister Narendra Modi has revealed a significant shift in state-level economic contributions, with Maharashtra’s GDP share declining for the first time in 10 years. According to the report, titled Relative Economic Performance of Indian States: 1960-61 to 2023-24, Maharashtra’s GDP contribution fell from 15.2% in 2010-11 to around 13% in 2023-24. This is a historic shift, as Maharashtra has typically maintained the highest share of India’s GDP.
In contrast, Gujarat’s GDP share rose, moving from 7.5% in 2010-11 to 8.1% in 2023-24, signaling its growing economic influence. The report highlights that while both Maharashtra and Gujarat are Western economic powerhouses, Maharashtra’s growth pace has slowed down over the last decade.
The report also points to a reversal in per capita income standings between the two states. Historically, Maharashtra led in per capita income, but as of 2023-24, Gujarat’s per capita income reached 160.7% of the national average, surpassing Maharashtra’s 150%.
Sharad Pawar, former Union Minister, expressed concern, saying that Maharashtra’s diminishing economic indicators reflect a failure in state leadership. He stressed the need for change to restore Maharashtra’s growth trajectory.
