Tamil Nadu's Economic Surge: A Testament to Industrial and Service Sector Excellence

Tamil Nadu significantly outperformed the national per capita income average in 2022-2023, with industries and services boosting the Gross State Domestic Product (GSDP) by 14% to Rs 23.64 lakh crore. Revenue receipts increased by 17.47%, attributed to improved tax and non-tax collections. Challenges remain with transport sector debts escalating.

Tamil Nadu has demonstrated exceptional economic growth, outstripping the national average per capita income during 2022-2023. Industries and services have contributed significantly, driving the Gross State Domestic Product (GSDP) to a remarkable 14% increase, reaching Rs 23.64 lakh crore, according to D Jaishankar, Principal Accountant General (Audit-I), Tamil Nadu.

Revenue receipts for the state showcased notable growth, increasing by 17.47% compared to the previous year, primarily due to enhanced tax and non-tax revenue collections. This improvement indicates a well-functioning revenue collection mechanism. The state's own tax revenue, including state goods and services tax and sales taxes, comprises a significant portion of the total revenue.

However, the report also highlighted rising challenges in the transport sector, with total debts escalating to Rs 21,980 crore, predominantly due to higher employee expenses. This highlights the financial strain on the sector, calling for urgent attention.

(With inputs from agencies.)