Himachal economy registers 8.3 pc growth in 2025-26 despite financial constraints

Shimla, Mar 20 (PTI) Himachal Pradesh recorded an 8.3 per cent real increase in Gross State Domestic Product (GSDP) and a 10.1 per cent rise in nominal growth in 2025-26 despite various challenges like acute financial constraints, cut in Revenue deficit grants, and heavy losses due to natural calamities.
    The GSDP at current prices rose to Rs 2,30,587 crore in 2025-26 from Rs 2,09,385 crore in the preceding fiscal and the growth at constant prices (2011-12) recorded at Rs 1,44,656 crore, exhibiting an 8.3 per cent in 2025-26 increase in 2025-26 against 6.4 per cent, according to the Economic Survey for 2025-26, tabled by Chief Minister Sukhvinder Singh Sukhu in the assembly on Friday.
    The per capita income (PCI) increased to Rs 2,83,626 in 2025-26 from Rs 2,58,196 in 2024-25, reflecting a growth of 9.8 per cent, consistently above the national average of Rs 2,19,575.
    The services sector dominated and contributed 46.3 per cent of Gross State Value Added (GSVA) in 2025-26, becoming the leading growth driver with 8.6 per cent real growth in 2025-26, followed by the secondary sector (39.4 per cent) and primary sector (14.3 per cent).
    The agriculture and allied sector witnessed a substantial increase of about 45 per cent from Rs 22,428 crore (current prices) in 2021-22 to Rs 32,415 crore in 2025-26, while the crop sector showed marked improvement during the same period and went up from Rs 13,722 crore to Rs 18,515 crore in 2025-26.
    The industrial sector's contribution to GSVA at constant prices was estimated at Rs 2,66,324 crore (39.96 per cent) in 2025-26, a growth of 7.7 per cent over the previous year.
    The manufacturing sector contributed 25.32 per cent to GSVA, followed by construction (8.42 per cent) and electricity, water supply and other utilities (6.22 per cent).
    The GSVA from the services sector was estimated at Rs 2,62,581 crore in 2025-26 (constant prices) compared to Rs 2,57,643 crore in 2024-25, a growth of 8.6 per cent.
    According to the survey, the tourism sector rebounded strongly, and contributed 7.77 per cent to GSVA.
    Domestic tourist arrivals surged from 32.13 lakh in 2020 to 311.47 lakh in 2025, including religious tourism.
    However, the survey stressed the need for sustainable tourism practices to protect the state's fragile ecosystem.
    The government's earnings from 143 hydropower projects, generating 1,574.06 MW of saleable power, reached Rs 1,668 crore till December 2025, and an additional Rs 249 crore is expected by March 2026.
    The hydropower generation from 28 State Electricity Board Limited (HPSEBL) projects with a capacity of 589.35 MW generated 1,973.64 million units (MU) of electricity till December 2025, which is likely to exceed 2,200 MU by the end of the financial year.

(This story has not been edited by THE WEEK and is auto-generated from PTI)