Andhra Pradesh Reports 10.5% GSDP Growth, Tourism Sector Set for Boost

Andhra Pradesh has recorded an impressive 10.5% growth in its Gross State Domestic Product (GSDP) during the first quarter of the 2025-26 financial year, surpassing the national average of 8.8%. According to the State Planning Department, the total Gross Value Added (GVA) of the state has reached ₹3,57,894 crore, reflecting robust progress across industrial, services, and agricultural sectors.

The industrial sector led the growth chart with 11.91%, driven by a 43.54% surge in mining and quarrying, 9.93% rise in manufacturing, and 9.57% increase in construction activities. Notable growth was seen in the production of road metal, black granite, and colored granite. The services sector grew by 10.70%, with tourism, hospitality, and transport contributing significantly to the revenue. Real estate and professional services also recorded strong growth, reaching ₹34,324 crore.

Tourism in Andhra Pradesh showed remarkable potential, with tourist arrivals rising from 6.89 crore to 8.07 crore, marking a 17.08% increase. Air passenger traffic also surged by 21.1%, highlighting the growing popularity of the state as a travel destination. Chief Minister N. Chandrababu Naidu emphasized that tourism could become a major growth driver, setting a target of 25% expansion in the sector.

Agriculture contributed to steady growth at 9.60%, supported by livestock, aquaculture, meat, and egg production. These sectors collectively ensured a balanced economic performance across urban and rural areas.

CM Naidu called for regular monitoring and sector-specific strategies to sustain long-term growth and achieve the ambitious 17.1% GSDP target for the next fiscal year. He also stressed the importance of leveraging the state’s coastline, water resources, and infrastructure to unlock untapped potential, especially in tourism, transport, and real estate.

With a strong foundation in industry, agriculture, and services, Andhra Pradesh is positioning itself not only to surpass national benchmarks but also to emerge as a competitive state in international growth rankings. Sustained efforts in tourism and infrastructure development are expected to further enhance the state’s economic landscape, creating jobs, boosting investment, and making it a preferred destination for businesses and travelers alike.