Dharamshala: In a significant shift in South Asia’s economic landscape, Tamil Nadu’s Gross State Domestic Product (GSDP) has reached approximately $419.74 billion in 2025, surpassing Pakistan’s national GDP, which stands at around \$397.58 billion. This development follows Maharashtra’s earlier milestone, with its GSDP estimated at $580 billion, positioning it well ahead of Pakistan.
India’s State Economies Outpace Pakistan
The economic trajectories of these Indian states highlight a broader trend of robust growth and diversification. Tamil Nadu, with a population of approximately 80 million, has achieved a real economic growth rate of 9.69% in the fiscal year 2024-25, the highest among Indian states. This growth is attributed to advancements in manufacturing, services, and exports.
Maharashtra, India’s financial hub, continues to lead with a GSDP of $580 billion, driven by its strong industrial base and service sector.
Pakistan’s Economic Challenges
In contrast, Pakistan faces economic hurdles, including political instability, reliance on external debt, and structural inefficiencies. The International Monetary Fund projects Pakistan’s GDP growth at 2.6% for 2025, reflecting modest recovery efforts.
Implications for Regional Dynamics
The economic ascent of Indian states like Tamil Nadu and Maharashtra underscores India’s decentralized growth model, where individual states contribute significantly to national prosperity. This shift not only enhances India’s global economic standing but also prompts a reevaluation of regional economic strategies.
Pallavi Sharma
