Himachal’s economy moving on strong, resilient growth trajectory: CM Sukhu informs Assembly

Shimla, March 20 (IANS) Himachal Pradesh’s economy continued to move on a strong and resilient growth trajectory, Chief Minister Sukhvinder Sukhu said on Friday.

Tabling the Economic Survey for 2021-22 in the Assembly, CM Sukhu, who also holds the finance portfolio, said as per the advance estimates for 2025-26 the state’s Gross State Domestic Product (GSDP) at current prices is estimated at around Rs 2.54 lakh crore, registering a healthy growth of about 10.1 per cent over the previous year.

In real terms, he said, the state economy is expected to grow by about 8.3 per cent, reflecting sustained economic activity across key sectors despite global uncertainties and climatic challenges.

“This performance highlights the inherent strength and adaptability of Himachal Pradesh’s economy,” he said.

As per the advance estimates, the GSDP at constant prices (2011-12) or real Gross State Domestic Product for 2025-26 is estimated at Rs 156,681 crore as against Rs 144,656 crore in 2024-25, exhibiting a growth rate of 8.3 per cent for 2025-26 as against 6.4 per cent for 2024-25 first revised.

As per the advance estimates for 2025-26 the gross state value added from the primary sector is expected to grow at the pace of 8.4 per cent at constant prices.

During 2025-26 (advance estimates) the gross state value added of the primary sector is expected to be Rs 18,824 crore as against Rs 17,362 crore in 2024-25 (first revised) at constant prices.

The services sector continued to be the principal engine of growth, supported by the steady expansion of tourism, trade, transport and financial services, while industry and hydropower remain important pillars of the state’s development.

Agriculture and allied sectors continued to sustain rural livelihoods and ensure food security for a large section of the population.

Reflecting the improving economic well-being of people, the per capita income is estimated at Rs 283,626 in 2025-26, registering a growth of 9.8 per cent over the previous year and remaining Rs 64,051 higher than the national average.

“There is a rise in the per capita income of the state from Rs 87,721 in 2011-12 to Rs 283,626 in 2025-26, registering a compound annual growth rate of 8.7 per cent over 2011-12,” said CM Sukhu.

Tourism, which plays an important role in revenue generation and livelihood in the hill state, has rebounded post-pandemic with the arrival of domestic tourists rising from 32.13 lakh in 2020 to 311.47 lakh, including religious tourists, in 2025.

The tourism, hotel and restaurant sector contributes 7.77 per cent in 2024-25 (first revised) to state’s gross state value added, fueled by hospitality, transportation, handicrafts and related industries.

The contribution of agriculture and allied sector to gross state value added at current prices has increased 45 per cent from Rs 22,428 crore in 2021-22 to Rs 32,415 crore in 2025-26 (advance estimates).

As per advance estimates, agriculture and allied sector gross state value added is estimated to increase by 8.30 per cent at constant prices in 2025-26 against a growth rate of 2.70 per cent realised in 2024-25.

--IANS

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