Annual growth rate of over 12% needed for TN to become $1 trillion economy by 2030

Tamil Nadu is expected to maintain a growth rate of above 8% in 2024-25 and to achieve the DMK government's aim of becoming a $1 trillion economy by 2030; the state will need to sustain an annual growth rate of over 12%, according to an economic survey for 2024-25, a first of its kind, released by the State Planning Commission on Thursday.

- Divya Chandrababu

CHENNAI:

"Building on a strong foundation of inclusive policies, Tamil Nadu has demonstrated remarkable economic resilience, consistently achieving growth rates of 8% or more since 2021-22," the report said. "The state is expected to maintain a growth rate above 8% in 2024-25. As a major exporter of automobiles and auto components, textiles, and leather, the state's economy is responsive to global market trends, exhibiting a higher correlation with global economic fluctuations than India's growth pattern."

The survey was released a day before the DMK-led Tamil Nadu government tables its last full-fledged budget on March 14 ahead of the 2026 assembly elections. "Usually the budget will spell out all new schemes for the development of the state. This is the forerunner of telling the people the status of their economy, how various sectors are performing and the challenges that we face, and indicating potential areas which the state has to focus on," said state planning commission executive vice-chairman J Jeyaranjan. "This would be a guideline for an informed debate about the economy by the people," he said, adding that a key challenge is that global events are unpredictable.