Odisha Economic Survey 2025–26 projects 7.9% growth, strong fiscal health and inclusive development
Bhubaneswar(By Abhishek Mohanty): The Government of Odisha on Thursday released the Odisha Economic Survey 2025–26, projecting robust economic expansion, rising incomes, strong fiscal discipline, and significant progress across agriculture, industry, infrastructure and social sectors.
Odisha’s Gross State Domestic Product (GSDP) at current prices is estimated at Rs 9.9 lakh crore in 2025–26, registering a 9.5% increase over Rs 9 lakh crore in 2024–25. Real GSDP growth is projected at 7.9%, up from 7.2% in the previous year and higher than the national average of 7.4%, reflecting broad-based sectoral growth.
Per capita income in the state increased by 9.2% to Rs 1,86,761 in 2025–26, compared to a 6.9% rise at the all-India level. The survey noted that this indicates faster convergence with national income levels and improving household prosperity.
Employment indicators also showed improvement. The Labour Force Participation Rate (LFPR) for those aged 15 years and above rose to 64.5% in 2024 from 58.1% in 2022, exceeding the national average. Female LFPR recorded a significant jump from 37.6% to 48.7%, well above the all-India figure of 40.3%.
Agriculture and allied sectors continued to outperform national trends, contributing 19.6% to the state economy compared to the national share of 16.8%. The sector grew at 5.3%, higher than the all-India growth of 3.1%.
Foodgrain production reached a record 150.5 lakh metric tonnes in 2024–25.
During 2024–25, the state procured 92.6 lakh metric tonnes of paddy from around 20 lakh farmers, disbursing Rs 21,300 crore as Minimum Support Price (MSP) and Rs 7,140 crore as input subsidy.
Government procurement covered nearly 78% of total paddy production. Ragi procurement more than doubled, supported by enhanced MSP and incentives.
The industrial sector contributed 41.3% to Gross State Value Added (GSVA), with manufacturing growth estimated at 8.3%, above the national average. In 2025, the state approved 244 projects worth Rs 5.66 lakh crore with employment potential for 3.35 lakh people. The survey highlighted a 98% implementation rate under BRAP 2024 and continued regulatory reforms.
The services sector accounted for 39.1% of GSVA and is projected to grow by 9.3%, with financial services expected to expand by 11.9%. New policies in Artificial Intelligence, Global Capability Centres and semiconductors aim to strengthen Odisha’s digital economy.
On the fiscal front, Odisha budgeted the highest capital outlay-to-GSDP ratio among major states at 6.6% in 2025–26. The debt-to-GSDP ratio stands at 13.6%, the lowest among major states and well within FRBM norms.
Infrastructure expansion remains a key focus area. The rail network has expanded to 3,243 km, air connectivity now covers 30 cities, and a new aviation initiative with an outlay of Rs 4,182 crore has been launched. Port capacity is also being enhanced to support trade growth.
Public health expenditure has tripled since 2019–20 to Rs 19,700 crore in 2024–25, while education spending rose 38% over the past two years. The Odisha World Skill Centre reported a 93% placement rate, with new centres planned in Berhampur and Sambalpur.
Women empowerment initiatives such as SUBHADRA and Lakhpati Didi have strengthened financial inclusion, with 16.42 lakh women achieving enhanced income status.
The survey also reported improved education and employment outcomes for SC and ST communities.
With rising investments, expanding infrastructure, and improving social indicators, the survey projects Odisha to remain on a path of sustained, inclusive and future-ready growth in the coming years.
