Gujarat’s per capita income has surged by 90.7% over the past decade, reaching ₹1,95,617 in the fiscal year 2023-24, according to official data released by the Ministry of Finance on July 21. This growth makes Gujarat the second-fastest growing state in India in terms of per capita income increase from 2013-14 to 2023-24. As Gujarat strengthens its position as an economic powerhouse, this rise reflects substantial progress in the state’s industrial, agricultural, and service sectors. However, disparities remain when compared to leading states such as Goa, Delhi, and Sikkim, which continue to maintain higher income levels.
What Happened: Detailed Facts and Figures
The Ministry of Finance responded to a parliamentary query on July 21, revealing that Gujarat’s per capita income increased from ₹1,02,589 in FY 2013-14 to ₹1,95,617 in FY 2023-24, an absolute increase of ₹93,028. This 90.7% rise places Gujarat second in the country for the highest percentage increase over the decade, behind only a select few states.
Despite this impressive growth rate, Gujarat’s per capita income ranks fifth nationally, with Goa leading at ₹3,57,611, followed by Sikkim (₹2,92,339), Delhi (₹2,71,490), and Chandigarh (₹2,56,912). Across India, the average per capita income is estimated to reach ₹1,14,710 in 2024-25, up from ₹72,805 in 2014-15, indicating that Gujarat continues to outperform the national average.
However, a recent report by Azim Premji University highlights that the average monthly salary in Gujarat is ₹13,266, ranking it 19th among Indian states for average earnings, lower than many others despite Gujarat’s industrial prominence. For comparison, Delhi tops the list with ₹23,580 monthly average salary, while Chhattisgarh reports the lowest at ₹9,716.
Why It Matters for Gujarat: Economic and Social Impact
The significant rise in Gujarat’s per capita income underscores the state’s robust industrial growth and expanding economic base. Gujarat is widely recognised as the most industrialised state in India, leading in sectors such as petrochemicals, pharmaceuticals, textiles, and engineering. The state contributes nearly 30.7% of India’s exports in 2024-25, driven by its thriving port facilities in districts like Kutch, Surat, and Ahmedabad.
This income growth translates to improved standards of living for many residents and bolsters Gujarat’s reputation as a preferred destination for business and investment. The upward trend also supports government initiatives such as the Gujarat Budget 2025-26, which focuses on infrastructure enhancement, social welfare schemes, and startup ecosystem development.
Nevertheless, the disparity between per capita income and average monthly salary suggests uneven wealth distribution. While industrialists and entrepreneurs benefit from Gujarat’s economic boom, average wage earners in districts like Dahod, Panchmahal, and Narmada may not experience proportional income gains. Addressing this imbalance is critical for sustainable and inclusive growth.
Background and Context: Gujarat’s Economic Landscape
Gujarat’s economy has traditionally been driven by its diverse industrial sectors. The state leads India’s pharmaceutical industry with a 33% share in drug manufacturing and 28% share in exports, supported by over 130 USFDA-certified manufacturing facilities located primarily in Ahmedabad, Vadodara, and Ankleshwar.
In agriculture, Gujarat is a major producer of cotton, groundnuts, sugarcane, and milk products, with districts such as Banaskantha and Mehsana being key contributors. The state’s electricity production capacity is the highest in India, facilitating uninterrupted industrial operations.
The state government’s reforms, including recent changes to the Factory Act allowing 12-hour shifts, aim to increase productivity and attract more investment. Additionally, Gujarat’s dynamic startup ecosystem grew significantly in 2025, with over 500 new startups registered, fostering innovation and employment opportunities.
Key Numbers and Data: Statistical Overview
- Per Capita Income Growth: ₹1,02,589 (FY 2013-14) to ₹1,95,617 (FY 2023-24), +90.7%
- National Rank in Per Capita Income Growth: 2nd highest among Indian states
- Current Per Capita Income Ranking: 5th nationally
- Top States by Per Capita Income (FY 2023-24):
- Goa: ₹3,57,611
- Sikkim: ₹2,92,339
- Delhi: ₹2,71,490
- Chandigarh: ₹2,56,912
- Gujarat: ₹1,95,617
- Average Monthly Salary in Gujarat: ₹13,266 (19th position nationally)
- Highest Average Monthly Salary: Delhi – ₹23,580
- Lowest Average Monthly Salary: Chhattisgarh – ₹9,716
- Gujarat’s Share in India’s Exports (2024-25): 30.7%
- Unemployment Rate (2022): Lowest in India at 4.4%
What Comes Next: Future Outlook and Recommendations
Gujarat’s remarkable growth in per capita income is expected to continue, supported by ongoing government policies, infrastructure investments, and the state’s strong industrial foundation. The upcoming Vibrant Gujarat Summit 2025 will likely attract further domestic and international investments, accelerating economic development across districts.
However, to ensure equitable growth, policymakers must focus on raising average wages and improving income distribution, especially in industrial and tribal districts such as Valsad, Gir Somnath, and Dahod. Strengthening education, skill development, and labor reforms will be critical for enhancing employability and income levels.
Residents and workers in Gujarat should actively engage with government schemes aimed at skill enhancement and entrepreneurship. For example, local entrepreneurs can benefit from startup incubation programs launched under Gujarat’s startup ecosystem initiatives. Employees should stay informed about labor law changes such as the extended working hours under the Factory Act and understand their rights to fair wages and work conditions.
Citizens and businesses can access detailed economic data and government notifications through the Gujarat Directorate of Economics and Statistics and the Ministry of Finance’s official websites for updated information and scheme applications.