Thiruvananthapuram (Kerala) [India], January 28 : Kerala's economy posted a strong growth in 2024-25 with an increase in the Gross State Domestic Product (GSDP) in real terms to Rs 6,85,28,316 lakh in 2024-25 from Rs 6,45,31,002 lakh in 2023-24, registering a growth of 6.19 per cent in 2024-25.
The Economic Review 2025 by the Kerala State Planning Board, released on Wednesday ahead of the State budget on January 29
The Gross State Value Added (GSVA) at 2011-12 prices increased to 6.59 per cent in 2024-25, up from 6.34 per cent in 2023-24.
The GSDP at current prices grew by 9.97 per cent in 2024-25, as against 9.3 per cent in 2023-24.
Similarly, GSVA at the current price grew at 10.08 per cent in 2024-25 as against 9.19 per cent in 2023-24.
Kerala is among the top ten States in India with a high per capita GSDP. The per capita GSDP at constant prices increased to Rs. 1,90,149 in 2024-25 (Q) from Rs. 1,79,953 in 2023-24, registering a growth of 5.67 per cent compared to last year.
The average income per person in Kerala is higher than the national average.
The sectoral composition of GSDP reveals the dominance of the services sector. Growth of GSDP across sectors shows strong positive growth in 2024-25, similar to 2023-24.
The primary sector posted robust growth of 2.36 per cent in 2024-25 in real terms, as against 0.24 per cent in 2023-24. The secondary sector grew by 7.87 per cent in real terms in 2024-25, as against 9.74 per cent in 2023-24.
The spillovers of policy interventions have strengthened the growth across sectors.
Kerala has been following a prudent fiscal consolidation through revenue augmentation and expenditure rationalisation.
The fiscal deficit as a per cent of GSDP was 3.02 per cent in 2023-24, marginally increased to 3.86 per cent in 2024-25, and is estimated to be 3.16 per cent in 2025-26. Similarly, the revenue deficit is 2.49 per cent of GSDP in 2024-25 as against 1.6 per cent in 2023-24. Revenue deficit is estimated at 1.9 per cent of GSDP in 2025-26.
The State's total revenue receipts increased from Rs 1,24,486 crore in 2023-24 to Rs 1,24,861.07 crore in 2024-25, registering a growth of 0.3 per cent compared with the previous year. However, the transfer from the Centre marked a sharp 6.15 per cent decline in 2024-25 compared to last year.
The State's own revenue receipts have been increasing over the years, except for a negative growth rate in 2020-21 due to the unprecedented COVID-19 outbreak. In 2024-25, the State's own revenue receipts increased by 2.7 per cent compared to 2023-24. In the same period, the State's own tax revenue increased by 3.1 per cent, and its non-tax revenue by 0.9 per cent.
The total expenditure registered positive growth of 9.0 per cent in 2024-25, as against 0.5 per cent in 2023-24. Total revenue expenditure grew by 9.3 per cent in 2024-25, compared with 0.5 per cent in 2023-24. Total capital expenditure increased by 8.96 per cent in 2024-25 compared to 0.48 per cent in 2023-24.
According to the National Statistical Office (NSO), CPI-Combined inflation stood at 1.54 per cent and 9.05 per cent, respectively, in India and Kerala in September 2025. In Kerala, rural inflation is higher than urban inflation in September 2025.
The primary sector registered strong growth of 2.36 per cent in 2024-25, compared with 0.24 per cent in 2023-24. Within the primary sector, Agriculture and Allied activities grew at 2.14 per cent in 2024-25, as against 1.25 per cent in 2023-24.
Fishing and Aquaculture grew at 10.55 per cent as compared to the negative growth of 3.58 per cent in 2023-24. In 2024-25, the primary sector contributes about 8.06 per cent to total GSVA in real terms, whereas Agriculture and Allied Activities contribute 7.64 per cent.
According to land use data, in 2024-25, out of the total geographical area of 38.86 lakh ha, the cropped area was 25.15 lakh ha (64.71 per cent), and the forest area was 10.82 lakh ha (27.8 per cent). Coconut share major part of the total cropped area with 30.44 per cent, followed by rubber with 21.78 per cent and Plantation crops with 28.22 per cent. Rice constituted 7.01 per cent of the total cropped area in 2024-25.
The areas, production, and productivity of rice (wetland) were 1.76 lakh ha, 5.30 lakh tommes and 3,006 kg per ha, respectively. Compared to rice productivity in 2023-24, it increased by 43 kg per ha in 2024-25. In 2024-25, vegetable production (including bananas and plantains) increased from 17.21 lakh MT to 19.11 lakh MT, with a total cultivated area of 1.22 lakh ha.
The total irrigated area has increased over the years. The net area irrigated increased to 4.38 lakh ha in 2024-25, up from 4.19 lakh ha in 2023-24. The percentage of net area irrigated to net area sown had risen from 21.28 (2023-24) to 22.28 (2024-25). The extent of net area irrigated through Government canals increased from 0.77 lakh ha (2023-24) to 0.78 lakh ha (2024-25).
In 2024-25, total fish production stood at 9.28 lakh MT, of which inland fish constituted 2.81 lakh tonne, and the remaining 6.47 lakh tonne are marine fish.
Kerala is the third-largest seafood-exporting State in terms of quantity and the second-largest in terms of value. The export of marine products from Kerala has increased over the years. In 2024-25, a total of 1.80 lakh MT of seafood valued at Rs 6,941.29 crore was exported from Kerala.
Cooperatives play a critical role in mobilising and pooling resources to meet the common needs of their members, particularly in rural areas. Kerala has 16,429 co-operative societies as of March 31, 2025, of which 12,278 are active. Consumer co-operatives (4,609) are the largest.
As of March 31, 2025, 3,756 credit co-operative societies were registered under the Registrar of Co-operative Societies (RCS), of which 3,370 co-operative societies are working in the State. In addition to these, there are co-operatives for marketing, housing, processing, health, and the Scheduled Caste and the Scheduled Tribe. Kerala is the only State in India with Youth Co-operative Societies to promote entrepreneurship among the youth.
Industry plays a critical role in determining overall growth. The secondary sector. accounted for 28.49 per cent of GSVA at constant prices in 2024-25 (QE). The secondary sector grew at 7.87 per cent in 2024-25. Within the secondary sector, construction and manufacturing have achieved growth of 8.12 per cent and 7.42 per cent, respectively. In real terms, respectively, in 2024-25. The share of construction and manufacturing sectors in real Gross State Value Added (GSVA) was 14.05 per cent and 13.08 per cent, respectively, in 2024-25.
The Government of Kerala declared 2022-23 as the "Year of Enterprises" with the motto "My enterprise, Nation's pride". Under the "Year of Enterprises 1.0" campaign in 2022-23, a total of 1.39 lakh new enterprises were started, generating investments worth Rs 8,421.6 crore and new employment for 3 lakh people. The second edition, named "Year of Enterprises 2.0," was launched in 2023-24. As part of this, a total of 1.03 lakh new enterprises were started with the investment of Rs 7,048.66 crore, and 2.18 lakh new employment was generated.
The "Year of Enterprises 3.0" 2024-25 campaign. As part of this, a total of 1.17 lakh new enterprises were started, which generated investments worth Rs 7798.55 crore and employment for 2.49 lakh people till November, 2025. Around one-third of these newly formed enterprises are promoted by women entrepreneurs. An innovative programme named "Mission 1000" was launched to convert 1000 MSMEs into ventures with an average turnover of Rs 100 crore each in four years.
A standout feature of the Kerala economy is that services have the highest share in the GSVA, at 63.45 per cent in 2024-25 (QE). Positive growth was registered across sectors, including information technology, tourism, hotels and restaurants, communication, trade, and transport, except for road transport.
Information Technology is a growing sector. The State has a network of Technoparks, Infoparks, Cyber Parks, and Technocities. With the commissioning of Phase III, Techno Park has become one of the largest IT parks in India with 768.63 acres of land and 12.72 million square feet of built-up area.
The total number of tech start-ups in Kerala's Startup ecosystem increased from 4,681 in 2023-24 to 6,227 in 2024-25. The Kerala Fibre Optic Network (KFON), launched to achieve the state's mission to make the internet a universal right, has 1.13 lakh active connections (as on 31st August 2025). KFON has entered the content space through its own OTT platform.
The platform offers 29 digital services and over 350 TV channels. About 2,986 Akshaya centres are functioning across the State, providing e-services to the population and providing employment to 10,518 persons. The e-SEVANAM & m-SEVANAM services were launched in 2021, offering 500+ services and 50+ departments. Currently, it provides 917 services of 81 departments in a single platform
Kerala has a robust public distribution system, with a network of Fair Price Shops spread across the state. As of March 31, 2025, Kerala has 94.92 lakh valid ration cards, which include both NFSA and non-NFSA categories.
The NFSA category includes 5.92 lakh AAY cards and 36.31 lakh priority cards. The non-NFSA category includes 22.31 lakh non-priority subsidy cards and 30.08 lakh non-priority non-subsidy cards.
Kerala has 13,858 Fair Price Shops as of October 2025. The total food grain distribution through PDS in 2024-25 is 13.69 lakh MT, including 2.41 lakh MT to AAY cardholders, 7.53 lakh MT to PHH cardholders, and 37,025 MT to non-priority cardholders.
Kerala has the least rural-urban divide in India because of strong connectivity. Every village in the State is connected with all-weather roads. The total road length as of August, 2025 is 1.97 lakh km, which includes National and State highways, Major District roads, rural roads, urban roads, and other roads constructed by various departments.
PWD has developed and maintained 29,573 km (15.5 per cent) of the roads in 2025, of which 4,128 km (13.96 per cent) are State Highways, and the remaining 25,445 km (86.04 per cent) are Major District Roads (MDRs). In the State Highway category, 898 km are four-lane, 3,193 km are two-lane, and the remaining 37 km are single-lane. MDRs cover 25,445 km, of which 52 km are four-lane, 10,593 km are two-lane, and 14,800 km are single-lane.
Local Self-Governments own and operate 1.582 lakh km (80.06 per cent) of roads. In addition, 11 National Highways (NHs) pass through Kerala (a total length of 1,858 km). The Hill Highway and Coastal Highways are two landmark projects in the road sector. Completed the work on four stretches of the Hill Highway, and work is in progress for the remaining stretches.
The first phase of the hill highway, i.e. the Kodancherry-Kakkadampoyil road, was opened to traffic on February 25, 2025. Land acquisition for coastal highways is in progress.
In infrastructure development, achievements include land acquisition for the National Highways (NH-66), the Vizhinjam International Seaport, the water metro, the Kochi metro, the Kannur airport, and more.
Kerala is the first State to be declared as fully electrified, and electricity is provided 24/7/365, without power cuts or load shedding. Total installed capacity in Kerala as on March 31, 2025, is 4,412.14 MW, of which hydel power contributed the major share of 2,284.42 MW (51.8 per cent), followed by solar power 1,519.66 MW (34.4 per cent), thermal power 536.54 MW (12.2 per cent) and wind 71.53 MW (1.6 per cent).
The electrical energy consumption has increased to 29,311.76 MU (including open access consumers and consumption against captive generation) in 2024-25, from 28,360.25 MU in 2023-24, registering a growth of 3.6 per cent. The total number of consumers as of March 31, 2025, was 140.7 lakh. KSEB has sold 28,544.05 MU of power, including sales to its own consumers, sales outside the State, and sales to other bulk licensees.
Kerala follows a strong decentralisation in its development agenda. Waste management has been the prime focus of the LSGIs during the last decade. The Navakeralam Vrithiyulla Keralam State Action Plan (2022) set a goal to make Kerala garbage- and litter-free by 2025 through annual pre-monsoon cleaning drives and related measures.
Malinyamuktham Navakeralam (Garbage-Free New Kerala) campaign has been implemented in three phases. As of October 31st 2025, a total of 1350 MCFs, 20051 Mini MCFs and 205 RRFs have been operational across the State. 50,042 bins and 26,967 bottle booths have been installed in public spaces.
Extreme Poverty Eradication Programme has been implemented through the local government. On November 1, 2025, the Honourable Chief Minister officially declared Kerala a state free from Extreme Poverty. Kudumbashree has played a pioneering role in local development, particularly in women's empowerment.
Under the LIFE (Livelihood, Inclusion and Financial Empowerment) Mission, a total of 4,71,442 houses, including LIFE Tower units, were constructed as of October 31, 2025. This includes 1,25,360 houses constructed for Scheduled Caste beneficiaries and 45,976 for Scheduled Tribe beneficiaries. Under the EPEP homeless category, 4,005 houses were completed, and in the EPEP landless and houseless category, 1,417 houses were completed
In 2025, out of the 12.6 lakh persons employed in the organised sector, 5.6 lakh (44.4 per cent) are in the public sector and 7.0 lakh (55.5 per cent) are in the private sector. Within the public sector, 46.6 per cent are employed in State Government, 10.8 per cent in Central Government, 23.6 per cent in State quasi-institutions, 4.5 per cent in LSGs, and 14.5 per cent are in Central quasi-institutions in 2024-25.
The State is committed to the welfare of its people, particularly the marginalised and vulnerable. Welfare pensions had increased from Rs 600 per beneficiary per month in 2016 to Rs 1,600 per beneficiary per month in 2021.
The government recently raised the welfare pension to Rs. 2,000, effective from November 2025. The number of social security pensioners was 34 lakhs in 2015-16, rising to 49.74 lakhs as of October 2025; this figure does not include welfare board pensions. Out of the 49.74 lakh pensioners, 31.08 lakh (62.49 per cent) are women. Fifty-eight per cent of beneficiaries fall under the category of old age pension.
The upliftment of the socially and economically disadvantaged is the concern of the Government. At present, 9.81 per cent of total State Plan outlay is earmarked for the welfare of Scheduled Castes and 2.83 per cent for the Scheduled Tribes. Under the Land to Landless Families for the construction of houses scheme, 1,756 families were assisted in 2024-25 and 1,060 families in 2025-26 (as on August 31, 2025).
As of October 31, 2025, a total of 1,25,360 houses were constructed for Scheduled Castes beneficiaries. Construction of 6,622 study rooms was completed in 2024-25 for the students of high school and higher secondary classes. Likewise, 334 study rooms were constructed in 2025-26 (as of August 31, 2025).
In 2024-25, the Government supported 211 Scheduled Castes students to study in reputed foreign educational institutions through the Unnathi Overseas Scholarship scheme, which gives scholarships of up to Rs 25 lakh.
As of August 31, 2025, a total of 4223 persons received treatment assistance. In 2024-25, 806 persons received training through various skill development programmes and 273 beneficiaries received the self-employment subsidy.
The Scheduled Tribe Development Department (STDD) implements several programmes to uplift the ST population in the state. The State has consistently allocated funds to the Tribal Sub-Plan (TSP). In 2024-25, the Tribal Resettlement and Development Mission (TRDM) distributed 187.62 acres of land to 191 families.
Under the Land Bank scheme, 5.81 acres of land were distributed to 19 families in Kasaragod District. Under the Forest Rights Act, 181.81 acres of land were distributed to 172 tribal families of Attappady and Wayanad District. LIFE Mission has enabled 45,976 Scheduled Tribe families to own safe and secure homes.
A total of 1,647 students were awarded special incentives for brilliant students in 2025-26 as of 31 August 2025. Scholarships for studying abroad and outside the state were given to 56 students in 2024-25 and 75 students in 2025-26 (as on 31 August 2025). In 2024-25, a total of 12,41,429 person-days have been generated with the participation of 34,843 Scheduled Tribes families, of which 3,513 families have completed 200 days' work.
Education and health are two areas where Kerala has a proud legacy. To promote inclusive education, facilities including free uniforms, mid-day meals, financial assistance to meet travel expenses, hostel facilities, and excursions for students are provided.
There are 12,945 schools in 2024-25, of which 4,700 (36.3 per cent) are Government schools, 7,202 (55.6 per cent) are aided schools, and 1,043 (8 per cent) are unaided schools. Under KIFFB, Rs 5 crore, Rs 3 crore and Rs 1 crore each have been allotted for the infrastructural development of 141, 386 and 446 schools, respectively.
Under the Rs 5 crore category, construction of buildings was completed for 139 schools. Under the Rs 3 crore category, construction of buildings was completed for 213 schools, and in the Rs 1 crore category, construction of buildings was completed for 246 schools. Construction of buildings of 52 schools has been completed, with the aid of NABARD.
It is seen that 99.1 per cent of government schools have access to drinking water, and all Government schools have urinal/latrine facilities. To promote all-inclusive education, there are 45 special schools in 2024-25 with a total enrollment of 2,805 students.
Kerala has undertaken significant policy changes in higher education, with a special focus on improving quality. According to the AISHE Report 2021-2022, Kerala has a Gross Enrolment Ratio (GER) of 41.3 in higher education, the seventh-highest in the country among States and UTs, and an overall Gender Parity Index (GPI) of 1.44 (more female enrolment relative to males).
Innovative initiatives in the higher education sector include the introduction of a four-year undergraduate programme (FYUP), the establishment of Sree Narayana Guru Open University and Digital University, and collaborations with premier institutions, among others. Major incentives in higher education include Hunger Free Campus, Connect Career to Campus, CM's Prathibha Scholarship Award, Mini Industrial Unit, and Jeevani College Mental Awareness Programme.
Kerala has 14 State universities, of which four (Kerala, Mahatma Gandhi, Calicut, and Kannur) are general. In 2024-25, Kerala has 230 arts and science colleges, of which 164 are government-aided and 66 are government-run. Additionally, there are unaided/self-financing arts and science colleges affiliated with universities.
In the NIRF ranking 2025, 18 colleges from Kerala featured among the top 100 colleges in the country, with three ranked among the top 50. REAP is an innovative programme implemented in major universities with 35000 students enrolled.
Kerala has a robust public health care system that is high-quality, accessible, equitable, and affordable. Life expectancy (at birth) in Kerala is 75.1 years, the highest among Indian States, and higher than the All- India average (70.3 years). The Maternal Mortality Rate (MMR) in Kerala is 30, the lowest among the States and much lower than the all-India average of 88. Under Nava Kerala Karma Padhathi-II, the Aardram Mission-2 was launched in 2022.
As part of the mission, a total of 740 PHCs out of 885 were converted to FHCs, and 105 CHCs were converted to Block FHCs. Outpatient (OP) departments in 14 District/General hospitals out of 17 and 24 Taluk Hospitals out of 43 were made patient-friendly.
OPs of all 8 medical colleges were made patient-friendly or modified. New initiatives under the Aardram Mission include 'ASWASAM depression management clinics, 'SWAAS' Chronic Obstructive Pulmonary Disease (COPD) control programme, conversion of 4,261 rural sub-centres into health and wellness centres, outpatient facilities in all FHCs up to 6:00 pm every day, laboratory facilities in Family Health Centres (FHCs, lifestyle diseases clinic in all FHCs on all days, and Sampoorna Manasika Arogyam Programme (SMAP) in FHCs.
Kerala's e-Health Project has the largest database, with health details of 2,59,55,998 people collected and stored electronically. In addition to this, elderly palliative care, Nirnaya lab network, healthy life campaign, Jankeeya Arogya Kendrangal, one health programme etc were launched.
The Government of Kerala said it envisions creating a "Nava Keralam" (New Kerala) to improve the overall quality of life of its people while fostering a business-friendly, efficient economic environment. Central to this vision is enhancing ease of living and ease of doing business through effective public service delivery and institutional reforms.
The approach emphasises the creation of strong public goods, the adoption of trust-based and transparent governance, and active collaboration with the private sector for sustainable development. At the same time, the initiative seeks to boost agricultural and industrial productivity while safeguarding Kerala's long-standing social welfare commitments and inclusive development model.