Arunachal’s Remarkable Economic Growth: A Decade of Prosperity

Arunachal Pradesh has experienced an incredible surge in its economic landscape over the past decade, showcasing a remarkable journey towards prosperity. Chief Minister Pema Khandu recently highlighted the state’s significant advancements, with the Gross State Domestic Product (GSDP) registering an astounding 166 percent increase between 2014 and the 2024-25 fiscal year. This impressive figure underscores a period of sustained development and strategic governance that has reshaped the state’s financial health.

Key Indicators of Arunachal Economic Growth:

The transformation is not just evident in the GSDP alone; several other economic indicators paint a vivid picture of this growth story:

• GST Taxpayer Expansion: Since the implementation of Goods and Services Tax (GST) in 2017-18, the number of GST taxpayers in Arunachal Pradesh has grown by a significant 141 percent, indicating a broader formalization of the economy and increased compliance.
• Per Capita Income Boost: The average income of individuals in the state has also seen a substantial rise, with per capita income increasing by 105 percent since 2016. This directly reflects improved living standards and economic opportunities for the populace.
• Soaring GST Collection: The state has witnessed an exceptional 731 percent increase in GST collection since 2017-18, demonstrating robust commercial activity and effective tax administration. This phenomenal rise is a testament to the thriving business environment and expanding economic base.
• State’s Own Resources Surge: Arunachal Pradesh’s capacity to generate its own revenue has strengthened considerably. The State’s Own Resources (SOR) have surged by 384 percent between 2014-15 and 2024-25, reducing reliance on central assistance and fostering greater financial autonomy.
• Enhanced Budget Allocations: Reflecting a sustained commitment to development, budget allocations for the state have grown by 218 percent between 2015-16 and 2025-26. This focus on capital expenditure is crucial for building infrastructure and driving inclusive development across the region, further solidifying Arunachal Economic Growth.

Chief Minister Khandu termed this period a “decade of transformative growth,” attributing the success to his administration’s emphasis on fiscal prudence and resilient development strategies, particularly under the “Pema 3.0” model of governance. This approach has laid a strong foundation for future economic stability and continued Arunachal Economic Growth.

Looking Ahead for Arunachal Economic Growth

The consistent progress in economic indicators positions Arunachal Pradesh as a frontrunner in regional development. The strategic policies implemented over the last ten years have not only fostered significant Arunachal Economic Growth but also created a conducive environment for further investment and expansion. The state’s commitment to inclusive development ensures that the benefits of this economic boom reach all sections of society, promising a brighter and more prosperous future for Arunachal Pradesh.