Shimla: Despite the acute fiscal crisis, setbacks in the Revenue Deficit Grant, and a series of natural disasters wrecking the state, Himachal Pradesh’s economy has looked stronger, and per capita income has also improved significantly during 2025-26.
Ahead of the state’s Budget, which is being presented in the House on Saturday for the year 2026-27, Chief Minister Sukhvinder Singh Sukhu tabled the economic survey report.
The state, a predominantly rural economy dependent largely on the farm sector, tourism, and hydropower, shows a continuous increase in its per capita income—a sign of stability in the hill economy.
The per capita income has increased to Rs 2,83,626 in the year 2025-26, which is 9.8 per cent more than the previous year and Rs 64,051 more than the national average. In the year 2011-12, this figure was Rs 87,721.
According to the survey, the total economic production capacity of Himachal Pradesh in the year 2025-26 is estimated to be around Rs 2.54 lakh crore, which shows an increase of 10.1 per cent as compared to the previous year.
“The growth rate at constant prices is estimated at 8.3 per cent, reflecting the state’s strong economic activity despite global uncertainties and climate challenges. The service sector remains the largest contributor to the state’s economy,” said Deputy Chief Minister Mukesh Agnihotri, commenting on the report.
Also, for the first time, the number of tourists in Himachal has crossed the figure of three crores despite monsoon disruptions, infrastructure damage, and human losses.
The GSDP at current prices rose to Rs 2,30,587 crore in 2025–26 from Rs 2,09,385 crore in the preceding fiscal, and the growth at constant prices (2011–2012) was recorded at Rs 1,44,656 crore, exhibiting an 8.3 per cent increase against 6.4 per cent in the previous year.
The contribution of the service sector in the year 2025-26 is estimated to be Rs 62,581 crore, which is expected to grow by 8.6 per cent. The sector has been strengthened by the expansion of tourism, trade, transportation, and financial services.
The share of the service sector in the total economic contribution is 46.3 per cent, the industry sector is 39.4 per cent and the agriculture sector is 14.3 per cent. Growth has also been recorded in agriculture and related sectors. The contribution from this sector is estimated to reach Rs 32,415 crore in the years 2025–26. Improvement in crop production has strengthened the rural economy.
The tourism sector has also improved rapidly. In the year 2020, 32.13 lakh tourists came, which has increased to 311.47 lakh in 2025. This sector is contributing significantly to the income of the state. The state is also getting good revenue in the energy sector.