CareEdge State Rankings 2025: Maharashtra Tops the List, Gujarat and Karnataka Close Behind; Western and Southern States Lead the Pack
Pune, April 30, 2025 — The CareEdge State Rankings 2025 have been released, with Maharashtra, Gujarat, and Karnataka emerging as the top-performing large states in India. Among North-East, Hilly, and Small States, Goa clinched the top spot, followed by Uttarakhand and Sikkim. The rankings offer a comprehensive evaluation of state performance across seven key pillars—Economic, Fiscal, Infrastructure, Financial Development, Social, Governance, and Environment—using 50 distinct indicators.
The rankings aim to present an objective, data-driven assessment of how states perform on parameters that indicate sustained and inclusive growth and investment attractiveness.
Top Performers
Large States:
- Maharashtra
- Gujarat
- Karnataka
North-East, Hilly & Small States (Group IB):
- Goa
- Uttarakhand
- Sikkim
The report places extra weight on economic and fiscal performance due to their cascading impact on overall development.
Maharashtra topped the overall rankings with robust performance in financial development, and consistently high scores in economic, fiscal, and social indicators. It led in financial metrics due to strong credit disbursement, mutual fund penetration, and health insurance coverage.
Gujarat followed, driven by its top economic rank, bolstered by high per capita GSDP, impressive foreign direct investment (FDI) as a share of GSDP, and strong gross fixed capital formation (GFCF) in industries. Karnataka secured third place overall, excelling in industrial output and environmental sustainability.
“This is a quantitative assessment of states’ potential in terms of sustainable and equitable growth and is also a reflection of the investment attractiveness of these states,” said Rajani Sinha, Chief Economist at CareEdge Ratings.
Regional Trends
- Western States (Maharashtra, Gujarat) showed leadership in fiscal, economic, and financial development.
- Southern States (Karnataka, Telangana, Tamil Nadu, Andhra Pradesh, Kerala) performed strongly in governance, environment, and social sectors.
Odisha topped the fiscal pillar, performing well on revenue deficit, debt, and fiscal guarantees. Punjab and Haryana scored high in infrastructure with better railway density, power availability, and irrigation.
Kerala led on social metrics, while Andhra Pradesh excelled in governance, showcasing a strong business environment, judicial efficiency, and administrative effectiveness.
In environmental performance, Karnataka stood out for air quality and renewable energy, while Telangana was recognized for improvements in forest cover and access to potable water.
Now in its second edition, the CareEdge State Rankings aim to guide policy decisions, investor interest, and inter-state learning by offering a holistic and transparent evaluation framework.
For more comprehensive details visit CareEdge State Rankings 2025
