Madhya Pradesh Economic Survey 2025-26, Key Insights for MPPSC

Madhya Pradesh Economic Survey 2025-26 is a crucial document for the MPPSC exam preparation. It reveals significant economic growth, with GSDP increasing by 11.14% at current prices and per capita income rising to ₹1,69,050. The Primary sector remains a major contributor, while the Tertiary sector leads at constant prices.

Key growth drivers include robust livestock production, burgeoning horticulture, and expansion in services, tourism, and renewable energy, despite some agricultural crop declines. Find out the complete Madhya Pradesh Economic Survey 2025-26 analysis here.

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Madhya Pradesh Economic Survey 2025-26 Analysis

Madhya Pradesh Economic Survey 2025-26 analysis summarizes the key achievements and economic data presented in the survey for fiscal year 2025-26.

MP Economic Survey 2025-26 provides critical insights into the state's continuous economic growth and performance across various sectors, laying the groundwork for future budgetary allocations and developmental strategies.

Gross State Domestic Product (GSDP) Estimates

Madhya Pradesh Economic Survey presents advance estimates for Madhya Pradesh's GSDP for 2025-26, indicating substantial economic expansion. Data is provided at both current and constant (fixed) prices, essential for understanding real growth adjusted for inflation.

Comparative GSDP Analysis

1. GSDP at Current Prices (चालू मूल्यों पर):

• Projected GSDP for 2025-26: ₹16,69,750 crore.

• Growth: 11.14% over the previous year's estimate of ₹15,02,428 crore (2024-25).

• Historical Data:

• 2023-24: ₹13,62,421 crore

• 2022-23: ₹12,21,922 crore

2. GSDP at Constant (Fixed) Prices (स्थिर मूल्यों पर):

• The base year for constant price calculation is 2011-12.

• Projected GSDP for 2025-26: ₹7,81,911 crore.

• Growth: 8.04% over the previous year's figure of ₹7,23,724 crore (2024-25).

Summary of GSDP Growth Rates

• Growth at Current Prices: 11.14%

• Growth at Constant Prices: 8.04%

• To aid memory, note that both growth rate figures end in .04 (11.14% and 8.04%). The approximate difference between these two rates is 3%.

Per Capita Income

The survey highlights a significant increase in per capita income, demonstrating a more than four-fold increase since the 2011-12 base year.

Comparative Per Capita Income Analysis (2011-12 vs. 2025-26)

This data indicates a substantial and continuous rise in the net per capita income of the state's residents.

Sectoral Contribution to Gross State Value Added (GSVA)

The survey provides a detailed breakdown of the contribution of the three major economic sectors—Primary (Agriculture), Secondary (Industry), and Tertiary (Services)—to the state's GSVA.

Key Insights:

• Primary Sector: highest contribution at current prices (43.09%)

• Tertiary Sector: highest contribution at constant prices (40.28%)

Here is a comparative sectoral contribution:

Detailed Analysis of the Primary Sector

The Primary Sector remains a cornerstone of Madhya Pradesh's economy.

• Growth Rate: 7.31% (current prices) and 2.87% (constant prices).

• Share in GSVA: The sector's share (at current prices) shows a slight decline from 44.51% in the previous year to 43.09%, indicating a gradual reduction in dependency on agriculture.

Sub-Sector Contribution to Primary Sector GSVA (at Current Prices)

• Crops: 30.17%

• Livestock (पशुधन): 7.22%

• Mining & Quarrying (खनन एवं उत्खनन): ~3%

• Forestry (वानिकी): 2.13%

• Fisheries (मत्स्य): 0.61%

Key Trends in Agricultural and Allied Production

• Crops: The overall value of crops grew by 6.38% (at current prices).

• Food Grains: Production increased by 14.68%. Total area under food grain cultivation also increased by 4.39%.

Important Correction: While some initial government infographics indicated growth, the official survey data reveal a decline in the production of several key crops:

• Pulses (दलहन): Production decreased by 21.9%.

• Oilseeds (तिलहन): Production decreased by 5.27%.

• Commercial Crops:

• • Sugarcane (गन्ना): Production declined.

  • Cotton (कपास): Production decreased by 3.78%.

• • Horticulture (उद्यानिकी): This sub-sector showed strong growth.

• • Area: Increased from 27.29 lakh hectares to 28.3 lakh hectares.

  • Production: Increased from 409.3 lakh metric tons to 425.68 lakh metric tons.

• • Livestock (पशुधन): This sub-sector is growing steadily.

• • Milk Production: Increased by 5.95%, from 213.26 lakh tons to nearly 226 lakh tons.

  • Share in GSVA: Contribution of livestock to GSVA increased from 7.08% to 7.22%.

  • Growth Rate: The sector grew by 12.96% (current prices) and 10.81% (constant prices).

Detailed Analysis of the Secondary Sector (Industry)

The year 2025 has been designated as the "Year of Industry and Employment," underscoring the government's strong focus on this sector.

• Contribution to GSVA:

• • At Current Prices: 19.79%

  • At Constant Prices: 26.18%

• Growth Rate:

• • At Current Prices: Approximately 10%

  • At Constant Prices: 6.87%

• Investment Initiatives: Events like the Global Investors Summit (GIS) 2025 and Regional Industry Conclaves have attracted investment proposals worth approximately ₹30.77 lakh crore.

• MSME Growth: The Micro, Small, and Medium Enterprises (MSME) sector is witnessing a surge in investment.

• FY 2024-25: ₹2,162 crore investment.

• FY 2025-26 (up to Dec 2025): ₹742 crore investment.

Detailed Analysis of the Tertiary Sector (Services)

The service sector is the fastest-growing sector in the state's economy, driven by urbanization, tourism expansion, and improvements in infrastructure, IT, and knowledge-based industries.

• Growth Rate: The sector is expanding rapidly at 15.8% (current prices) and 12.07% (constant prices).

• Contribution to GSVA (Current Prices): The sector's share has increased from 35.53% to 37.12%.

Contribution of Sub-Sectors to Service Sector (by value/employment, highest to lowest):

1. Wholesale and Retail Trade (लगभग 40%)

2. Transport

3. Education

4. Housing

5. Public Administration
   Real estate and financial services are also noted as rapidly growing areas within this sector.

Tourism Sector Performance

Tourism is identified as a key "sunrise sector" for Madhya Pradesh, showing exceptional growth.

• National Standing: Madhya Pradesh holds the 9th rank in India for tourist arrivals.

• Tourist Arrivals (2024-25): The state received 13.39 crore tourists.

• • It captured a 4.5% share of all domestic tourist arrivals in the country.

  • Foreign tourists numbered 1.65 lakh.

• Long-Term Growth: Over the last five years (2021 to Nov 2025), the state has seen a remarkable growth of approximately 66.65% in tourist arrivals, with a total of 13.818 crore tourists during this period.

Energy Sector Status

Madhya Pradesh has significantly expanded its energy generation capacity.

• Total Installed Capacity: 25,416 MW.

• Renewable Energy: The state has made massive strides in renewable energy, growing from 491 MW in 2012 to 9,508 MW by November 2025.

• A key project is the Omkareshwar Floating Solar Project, the world's largest of its kind, with a 278 MW capacity.

Renewable Energy Capacity:

• Solar Power: 5,781 MW

• Wind Power: 3,500 MW

• Biomass: 155 MW

• Small Hydro Power Projects: 124 MW

Export and Foreign Direct Investment (FDI)

Export Performance (in crore) is as follows:

Foreign Direct Investment (FDI) (in crore):

• FDI inflow peaked between Jan 2022 and Dec 2022.

• From Jan 2025 to Sep 2025, the state received an FDI of ₹327.34 crore.

Developments in Education and Health

The state has achieved significant milestones in improving educational outcomes, particularly in reducing student dropout rates through initiatives like the "School Chale Abhiyan."

• Primary Level: The school dropout rate has been reduced to 0%.

• Middle School Level: The dropout rate has fallen from approximately 11% to 6.3%.

Implementation of Government Schemes & Rural Infrastructure

The survey highlights the successful implementation of key central government schemes.

• Pradhan Mantri Awas Yojana (Gramin): Approximately 41 lakh houses were sanctioned, placing Madhya Pradesh among the leading states.

• Lakhpati Didi Abhiyan: Efforts are ongoing to enhance income through over 500 women's Self-Help Groups (SHGs).

• Pradhan Mantri Gram Sadak Yojana:

  • 73,000 km of rural roads have been constructed.

  • 12,809 bridges have been built to ensure all-weather connectivity.