3rd April 2025: According to the latest Economic Health Index released by NITI Aayog, Odisha ranks first with an impressive score of 67.8. The report highlights the state’s strong performance in key areas such as expenditure management, revenue generation, financial stability, and credit quality.
Odisha stands out for its effective revenue collection, earning a score of 69.9, and it excels in the credit index with a remarkable score of 99. The state’s ability to maintain a low fiscal deficit and its disciplined approach to financial management are also acknowledged in the report. Moreover, Odisha’s high capital expenditure-to-GSDP ratio is a key factor contributing to its economic health and long-term growth prospects.
The report classifies states into four categories: Achiever, Front Runner, Performer, and Aspirational. Odisha falls under the “Achiever” category, demonstrating its leadership in economic performance among major states in the country.
Other states such as Chhattisgarh, Goa, Jharkhand, and Gujarat also performed well, while Punjab, Andhra Pradesh, West Bengal, Kerala, and Haryana ranked lower due to challenges in revenue collection and overall economic development.
The state’s mining revenue has played a significant role in its top ranking, alongside its prudent fiscal strategies. The report also highlights that Odisha and other similar states are allocating about 27% of their developmental expenditure towards capital investments, promoting sustainable growth and future economic stability.