Odisha is stepping confidently into a new phase of economic transformation. The Odisha Economic Survey 2025–26, tabled by Chief Minister Mohan Charan Majhi on February 19, 2026, presents a compelling narrative of a state economy that is not just growing — but outperforming national benchmarks across multiple fronts.
With its Gross State Domestic Product (GSDP) nearing the landmark ₹10 lakh crore mark and growth projections surpassing the national average, Odisha is increasingly being viewed as one of India’s most dynamic and fiscally disciplined states.
Closing in on the ₹10 Lakh Crore Economy
Odisha’s GSDP at current prices is estimated at approximately ₹9.9 lakh crore in 2025–26, reflecting a strong 9.5% annual increase. The state’s real GSDP growth is projected at 7.9%, notably higher than the national average of 7.4%.
Equally significant is the rise in per capita income, which has grown by 9.2% to ₹1,86,761. While Odisha has historically trailed the national average, the gap is steadily narrowing — a sign of expanding opportunities and improved household earnings.
Behind these numbers lies a broader story of structural resilience, sectoral balance, and fiscal prudence.
Fiscal Discipline: Growth Without Recklessness
At a time when many states are grappling with high debt burdens, Odisha’s fiscal management stands out. The state’s debt-to-GSDP ratio is estimated at 13.6% — comfortably within the limits prescribed under fiscal responsibility norms.
Even with planned capital expenditure driving infrastructure expansion, projections suggest the ratio may rise modestly to 15.7% by 2029–30 — still sustainable by national standards. Interest payments account for just around 2.8% of revenue receipts, far below the 15% benchmark that signals stress.
In short, Odisha is investing in growth without compromising financial stability.
Agriculture: Resilience at the Core
Despite rapid industrialisation, agriculture remains a cornerstone of Odisha’s economy. The sector contributed 19.6% to the state economy in 2025–26 — significantly above the national share of 16.8%.
Agriculture and allied activities grew at 5.3%, outpacing the national average. A record foodgrain production of 150.5 lakh tonnes in 2024–25 highlights improvements in procurement systems, Minimum Support Price (MSP) support, irrigation expansion, and rural infrastructure.
Livestock output, fisheries, marine exports, and expanded irrigation potential further strengthen the primary sector. For rural households, this resilience translates directly into income stability and food security.
Industry: Manufacturing Momentum Builds
The industry sector accounted for roughly 41.3% of Gross State Value Added (GSVA) in 2025–26, contributing nearly ₹3.6 lakh crore. Overall industrial growth stood at 6.4%, while manufacturing expanded by an impressive 8.3% — above the national average.
Odisha approved 244 investment projects worth ₹5.66 lakh crore, with the potential to generate 3.35 lakh jobs. Of these, 80 projects worth ₹1.75 lakh crore were implemented within the year, creating approximately 1.4 lakh direct employment opportunities.
Business reforms under BRAP 2024 achieved a 98% implementation rate, signaling a streamlined regulatory environment and strong investor confidence.
Services and the Digital Leap
The services sector contributed around 39.1% of GSVA and is projected to grow at 9.3%, making it one of the fastest-expanding segments of the economy.
Financial services alone are expected to grow by nearly 11.9%, supported by deeper penetration of banking, insurance, and fintech solutions.
What distinguishes Odisha’s trajectory, however, is its push toward future-ready sectors. The introduction of the Odisha AI Policy 2025, Odisha GCC Policy 2025, and Odisha Semiconductor & Fabless Policy 2025 signals an ambition to transform the state into a digital innovation hub.
From artificial intelligence to semiconductor design and global capability centers, Odisha is positioning itself at the frontier of India’s next technology wave.
Infrastructure: Building the Backbone of Growth
Infrastructure spending has emerged as a defining pillar of Odisha’s growth strategy. Capital outlay has risen to 6.6% of GSDP — the highest among major Indian states.
Major investments span roads, bridges, irrigation, and long-term assets. The rail network now exceeds 3,243 km, while expanded aviation connectivity links Odisha to 30 cities.
The B-MAAN initiative (Building and Management of Aviation Assets and Network), with planned investment exceeding ₹4,000 crore, aims to further strengthen air connectivity and logistics efficiency.
Meanwhile, Paradip Port has emerged as a national maritime powerhouse, handling 18% of India’s total cargo in 2024–25 and being identified as a Green Hydrogen Hub — reinforcing Odisha’s strategic importance in energy transition.
Human Capital: Investing in People
Economic growth is sustainable only when accompanied by social development. Odisha’s survey reveals encouraging trends:
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Education is now the second-highest household expenditure after food, reflecting rising aspirations.
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Public health spending has tripled since 2019–20, reaching nearly ₹19,700 crore.
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Skill development programs show high placement rates, particularly at the Odisha World Skill Centre.
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New skill centres are being planned across multiple cities.
Women’s empowerment initiatives have also made notable progress. Through livelihood schemes, 16.42 lakh “Lakhpati Didis” have been created, strengthening financial inclusion and entrepreneurship at the grassroots level.
Labour Market Gains and Poverty Reduction
Odisha’s labour force participation rate has improved from 58.1% in 2022 to 64.5% in 2024 — above the national average. Female labour participation has surged to 48.7%, indicating meaningful progress toward gender inclusion.
Extreme poverty has declined to 5.3% under revised international poverty benchmarks, reflecting tangible improvements in living standards.
A State Reimagining Its Future
The Odisha Economic Survey 2025–26 presents more than statistical progress — it reflects a state undergoing structural transformation.
From agriculture to advanced manufacturing, from digital policy frameworks to infrastructure expansion, Odisha is crafting a growth model that balances economic ambition with fiscal discipline and social inclusion.
As it approaches the ₹10 lakh crore milestone, Odisha is not merely chasing numbers. It is building an ecosystem designed for resilience, competitiveness, and long-term prosperity.
The coming years will test the sustainability of this growth trajectory. But for now, the survey signals a state that is confident, future-focused, and steadily emerging as one of India’s most promising economic engines.