UP ATTRACTED OVER RS.1.60 LAC CRORE DURING 2024-25 AND TAPPING UNTAPPED OPPORTUNITIES, STUDY
Uttar Pradesh’s economic transformation is unfolding at a significant pace and expansion in manufacturing, agriculture, industry, tourism, and major infrastructure and investment inflows are shaping regional growth. In 2024-25, the state has attracted new investment proposals worth Rs.1,63,324 crores as against Rs.1,59,200 crores in 2023-24, according to the study released today by the MSME Export Promotion Council.
Between the FY 2021-22 and 2024-25, the state has attracted projects worth Rs.6,14,049 crore, said Dr D S Rawat, Chairman of the MSME EPC. He said the data has been sourced from the Centre for Monitoring of Indian Economy (CMIE).
Out of Rs. 1,63,323 crore investment in 2024-25, the private sector has announced proposals for Rs. 1,20,455 crore. It was noted that NOIDA and Greater NOIDA are emerging as key hubs for fintech, AI, edtech, and deep-tech start-ups, with investment interest from major global firms. The state ranks among the top states in terms of factories and industrial employment.
While releasing the 2nd edition of the study on “investment, development& growth between 2021-22 to 2024-25 in UP”, Rawat said, during 2021-22, the new investment for all projects were of Rs.1,18,625 crore, in 2022-23 of Rs.1,72,900 crore, in 2023-24 total proposals were of Rs.1,59,200 crore and in 2024-25 of Rs.1,63,323 crore.
In 2024-25, the investment proposals were completed of Rs.64,634 crore and the outstanding projects were of Rs. 15,55,855 crores. Therefore, to avoid cost escalation, the MSME EPC has suggested the constitution of a high-powered committee to expedite the proposals within the fixed time frame. The study found that projects worth Rs.9,34,543 crore were at various stages of implementation.
UP’s gross state domestic product (GSDP) at current prices rose from Rs.25.48 lakh crore in 2023-24 to approximately 27.99 lakh crore in 2024-25.in 2023-24, the state’s GSDP growth stood at 11.6percent. Manufacturing-led growth in 2023-24 with a 13 per cent rise, followed by agriculture 7.3 per cent and services 4.9 per cent.
Over the past five years, the MSME sector in UP has grown at a CAGR of 9.7 per cent. There are approximately 96 lakh MSME units, generating jobs for around 1.75 crore, contributing 46%of the state’s exports and about 60%of its industrial output. However, there are a large number of MSMEs who are struggling for survival due to shifts in technology, non-availability of timely credit at affordable rates and lack of skilled human resources.
Though the state has been growing rapidly, the MSMEEPC chairman Rawat said, several untapped opportunities remain that could boost its economy even further if leveraged properly. These include agriculture processing, heritage tourism, green economy, logistics and electronics, etc. UP is among the top three to attract domestic and foreign tourists mainly to Agra, Varanasi, Lucknow, Ayodhya and Sarnath and contributes about 13-14 per cent of UP’s GSDP and is a major employment driver in hospitality, handicrafts, transport and services. The state must combine infrastructure, global branding and local participation to unlock its full tourism potential.
***************************************