The fact that South India far outperforms other regions of India and leads the country in economic progress needs no revalidation. In 2023-24, South India recorded a 6.3 percent GDP growth rate compared to 5 percent in the rest of India. According to V Anantha Nageswaran, CEA to the Union government, the southern region’s per capita income has grown at 5 percent compared to 4.2 percent recorded for the rest of India. A recent report by CII, ‘2047 Southern Odyssey: Powering Ahead to a $10-Trillion Economy’, said nearly one-third of India’s GDP in 2023-24 came from southern states, with TN and Karnataka being the top contributors.
The numbers speak volumes. AP leads with 36.2 percent of South India’s agricultural GDP, focusing on rice, fisheries, and livestock. TN focuses on automotive, textiles, and electronics, contributing 20.4 percent of South India’s manufacturing GDP. Karnataka dominates the services sector, contributing 39 percent of South India’s GDP from financial, real estate, and professional services. When it comes to social contributions, Kerala ranks high. Its literacy rate is 96.2 percent, and life expectancy is 75.2 years, above the national average of 69.4 years. Among others, the South’s public healthcare systems and robust education policies have set benchmarks. What is also reassuring is the increasing participation of women in the workforce.
India’s plan to become Viksit Bharat by 2047 has underlined key targets, such as a $30 trillion economy with a per capita income of $18,000. South India’s focus on IT, manufacturing, and renewable energy will be crucial in driving the country’s GDP growth spurred by a robust industrial base, a booming services sector, and modern agricultural practices. South India needs to continue emphasising human capital to drive innovation and productivity. States such as TN and Karnataka will have to hold on to their growth in manufacturing and better the scope in coming years, to give a leg up to India’s dreams. It is equally imperative for the Centre to provide adequate financial support to these states without, as Union Minister George Kurian suggested, the states having to declare they are backwards in education, infrastructure and social welfare. The Centre should also expedite smooth fund flow to schools across the South to ensure an educated, highly-skilled workforce to drive GDP growth.