Tamil Nadu’s economy may grow at a rate of 8.08% to 10.69% in 2024-25. Providing these real growth rate figures (as opposed to nominal rates that include the factor of inflation), a study on the State economy, conducted by C. Rangarajan and K.R. Shanmugam, chairperson and director of the Madras School Economics respectively, has estimated that in the recently concluded financial year of 2023-24, the State’s growth rate varied from 8.08% to 9.44%.
The study has taken into account four scenarios (only two of which are given in the table), apart from the findings that have been arrived at by using a statistical analysis model — autoregressive integrated moving average.
Commissioned by the State Finance Department, the study said that the country’s expected economic growth rate for 2023-24 was 7.3%. Being a “better-performing State,” Tamil Nadu’s growth would, in all probability, be faster than India’s.
