Bhubaneswar, Feb 19: The Economic Survey 2025–26 presents a compelling picture of Odisha’s accelerating growth story, marked by robust industrial expansion, strong services sector performance, and a forward-looking digital transformation agenda.
Industry Sector: Powering economic expansion
In 2025–26 (Advance Estimates), the industry sector contributed 41.3 percent to Odisha’s Gross State Value Added (GSVA) at current prices, amounting to approximately ₹3.6 lakh crore. The sector recorded a steady 6.4 percent growth at constant prices, underlining its resilience and sustained momentum.
Manufacturing has emerged as the primary growth driver, projected to expand by 8.3 percent, significantly outpacing the national average of 7 percent. This strong performance reflects Odisha’s increasing competitiveness in industrial production and its growing appeal among investors.
Strong investment pipeline and employment generation
The year 2025 witnessed significant investment activity. The Government of Odisha approved 244 new projects with a cumulative proposed investment of ₹5.66 lakh crore, expected to generate employment for approximately 3.35 lakh persons.
In addition, 80 projects were successfully implemented during the year, attracting ₹1.75 lakh crore in investments and directly creating 1.4 lakh jobs. These investments span a diverse range of sectors, covering both labour-intensive industries that drive mass employment and high-tech sectors that enhance value addition and innovation.
Reform-driven business ecosystem
Odisha’s industrial growth is supported by a strong reform framework aimed at improving the ease of doing business. The State achieved an impressive 98 percent implementation rate under the Business Reforms Action Plan (BRAP) 2024, completing 425 out of 434 reforms.
A landmark step in regulatory simplification is the introduction of the Odisha Jan Vishwas Bill 2025, which seeks to decriminalize minor offences by rationalizing 161 burdensome compliances across 16 Acts and 9 Departments. This move significantly reduces regulatory friction and enhances investor confidence.
Building industry-ready infrastructure
The State continues to strengthen its industrial ecosystem through the development of mega industrial zones, sector-specific parks, and MSME clusters. Alongside traditional industries, Odisha is actively promoting emerging sectors such as green energy and aerospace, ensuring a balanced approach to sustainable and inclusive industrial growth.
Services Sector: Accelerating towards a digital future
The services sector accounted for 39.1 percent of GSVA in 2025–26 and is projected to grow by a robust 9.3 percent at constant prices, reflecting rising demand and structural transformation in the economy.
Financial Services: Driving inclusive growth
Financial services are expected to expand by 11.9 percent in 2025–26, fueled by increased penetration of banking, insurance, and fintech solutions. This growth supports Odisha’s broader vision of building an inclusive financial ecosystem that integrates rural and urban populations into formal financial networks.
Digital ecosystem and emerging technologies
Odisha is rapidly strengthening its digital and ICT ecosystem. Investments in tech parks, data centres, and innovation hubs are being complemented by progressive policy initiatives such as:
These initiatives aim to position Odisha as a competitive digital economy and an emerging hub for advanced technologies.
