Goa Emerges as India’s Richest State? Lok Sabha Reply Reveals Income Disparities
Goa has recorded the highest per capita Net State Domestic Product (NSDP) in India for the financial year 2023–24, at ₹3.57 lakh, according to a written reply by Minister of State for Finance, Pankaj Chaudhary, in the Lok Sabha.
At the other end of the spectrum, Bihar reported the lowest per capita NSDP at just ₹32,227, based on data from the National Statistical Office (NSO).
In response to a question by MPs Giridhari Yadav and Dinesh Chandra Yadav, the Minister also stated that India’s per capita net national income at constant prices stands at ₹1,14,710 for 2024–25, a significant rise from ₹72,805 in 2014–15.
However, the data also highlights stark regional disparities. “The increase in per capita income varies across States and Union Territories,” the Minister said, adding that these variations are due to differences in economic development, sectoral composition, structural challenges, and governance mechanisms.
Top 5 States/UTs by Per Capita NSDP (FY 2023–24)
- Goa – ₹3,57,611
- Sikkim – ₹2,92,339
- Delhi – ₹2,71,490
- Chandigarh – ₹2,56,912
- Puducherry – ₹1,45,921
Notably, three of the top five are Union Territories, and Sikkim is a smaller state with a relatively low population.
States with Lowest Per Capita NSDP
- Bihar – ₹32,227
- Uttar Pradesh – ₹50,341
- Jharkhand – ₹65,062
These states also have high population densities, which significantly affects per capita income figures.
Other States With High Per Capita NSDP
- Karnataka – ₹1.91 lakh
- Tamil Nadu – ₹1.79 lakh
- Telangana – ₹1.77 lakh
Their higher per capita income is attributed to diversified economies, strong industrial growth, and urbanization. In contrast, many states in eastern and central India continue to lag behind.
The data highlights the need for balanced regional development and targeted policy interventions to address income inequality and promote inclusive economic growth. The Finance Ministry reaffirmed the government’s commitment to equitable development under its slogan: “Sabka Saath, Sabka Vikas.”
What is Per Capita NSDP?
Per Capita Net State Domestic Product (NSDP) is a key economic indicator that reflects the average income per person in a state during a specific financial year, after accounting for depreciation.
NSDP refers to the total value of goods and services produced within a state, minus depreciation—the loss in value of capital assets over time. It’s often referred to as State Income.
Per Capita NSDP is calculated by dividing the NSDP by the mid-year population of the state. It shows the average income if the total economic output were evenly distributed among the population.
While a high per capita NSDP indicates better economic activity, it doesn’t necessarily mean that a state is the richest. Several factors can influence the number:
- Large, diverse economies (e.g., Maharashtra, Tamil Nadu, Gujarat) tend to have higher NSDP.
- High population can reduce per capita figures even if total output is high.
- Income inequality may skew averages — a few wealthy individuals could inflate figures while the majority earn much less.
- Economic activity may be concentrated in select sectors or cities, limiting broad-based prosperity.
