Telangana economy records strong growth, RBI data reflects

The value of the manufacturing sector rose from Rs 1,04,472 crore in 2024 to Rs 1,12,490 crore in 2025. The increase indicates continued activity 

Metro India News | Hyderabad

Telangana’s economy is on a strong growth trajectory, according to the latest data released by the Reserve Bank of India (RBI)’s ‘ Handbook of Statistics on the Indian Economy 2025’. According to the RBI data, Telangana’s Net State Domestic Product (NSDP) at current prices increased to Rs 16.15 lakh crore in 2025, compared with Rs 14.58 lakh crore in 2024, translating into growth of approximately 10.8 per cent.

The value of the trade, repair, hotels and restaurants sector rose from Rs 2,83,799 crore in 2024 to Rs 3,31,528 crore in 2025 while real estate dector increased from Rs 2,99,694 crore to Rs 3,34,688 crore. The expansion of construction, real estate and business services in urban areas is reflected in the figures, indicating continued economic activity linked to urbanization.

The value of the manufacturing sector rose from Rs 1,04,472 crore in 2024 to Rs 1,12,490 crore in 2025. The increase indicates continued activity in infrastructure development, urbanization, real estate and industrial operations across both the public and private sectors. The combined value of agriculture, livestock, forestry and fishing increased from Rs 94,195 crore in 2024 to Rs 96,785 crore in 2025.

Economy nearly doubles in six years

At current prices, the state’s NSDP stood at Rs 8.49 lakh crore in 2020. By 2025, it had increased to Rs 16.15 lakh crore, meaning that the size of the state economy had almost doubled during the six-year period. Per capita income has also recorded a substantial increase. Telangana’s per capita NSDP at current prices, which stood at Rs 2,25,734 in 2020, increased to Rs 4,18,931 in 2025-26.

Questions over inclusive growth

However, economists have stressed that headline economic growth needs to be assessed alongside its impact on different sections of society. Questions remain over whether the benefits of economic expansion are reaching all sections equally, particularly in terms of agricultural incomes, employment generation, the rural economy and the condition of small-scale industries. The challenge for Telangana, therefore, is not only to sustain its economic growth but also to ensure that the benefits of that growth translate into broader employment opportunities, higher incomes and improved economic prospects across both urban and rural areas.