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Gujarat ranked first among large states in NITI Aayog's Investment Friendliness Index 2026, followed by Maharashtra and Tamil Nadu. The index evaluates all 28 states and eight Union Territories using 84 indicators across eight pillars, including infrastructure, business climate, regulation and government policy.
The Indian economy is supported by strong domestic demand, infrastructure investment, manufacturing expansion, and a rapidly growing digital economy. While challenges such as inflation and global uncertainty remain, long-term growth is expected to be driven by reforms, innovation, and rising investment.