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Delhi's economic survey for 2025-26 indicates steady growth, with per capita income expected to reach around INR 5,31,610, marking a rise of nearly 8 per cent. The report highlights strong infrastructure, welfare spending, and a services-led economy as key drivers. While the government continues to maintain a revenue surplus, higher capital expenditure has led to an increase in fiscal deficit. Tax collections are projected to grow significantly, supported largely by GST and VAT. Overall, the data reflects a stable financial position with increased public spending aimed at long-term development.
The Delhi government's economic survey for 2025-26, presented in the Assembly by Chief Minister Rekha Gupta, shows that the city's per capita income is expected to reach around INR 5,31,610 at current prices. This reflects a growth of 7.92 per cent compared to the previous financial year. Advertisement
The Chief Minister stated that the findings reflect a rapidly growing economy, supported by strong infrastructure and welfare-focused policies. She added that the government aims to develop Delhi into a more inclusive, equitable, and livable city that meets the needs of its residents.
The report notes that Delhi's per capita income is likely to remain about 2.5 times higher than the national average, continuing its position as one of the top-performing regions in the country.
On the fiscal front, Delhi is expected to maintain a revenue surplus. The budget estimate for 2025-26 places this surplus at INR 9,661.31 crore, which is about 0.73 per cent of the Gross State Domestic Product (GSDP). At the same time, the GSDP is projected to reach INR 13,27,055 crore at current prices, registering a growth of 9.42 per cent over the previous year.
Tax collections are also expected to see a notable increase, with a projected growth of 15.54 per cent. The government continues to rely heavily on its own tax revenue, which is estimated to contribute nearly 68.7 per cent of the total expenditure budget.
A major share of tax revenue is expected from GST and VAT, contributing about 71.3 per cent. This is followed by excise at 10.2 per cent, stamp duty at 13.1 per cent, and motor vehicle tax at 5.4 per cent.
The overall budget size for 2025-26 stands at INR 1,00,000 crore. Out of this, INR 59,300 crore has been allocated towards government schemes, programmes, and projects. This marks a significant increase compared to INR 39,000 crore in the previous year's budget estimate.
Despite maintaining a consistent revenue surplus over the years, the fiscal deficit is expected to rise to INR 13,703 crore. This increase is mainly due to a sharp rise in capital expenditure, which has more than doubled. Capital spending has been raised from INR 11,485 crore in the previous year (provisional) to INR 28,115 crore in the current budget estimate.
Looking at past trends, Delhi had recorded a revenue surplus of INR 12,247.03 crore in the previous year, significantly higher than INR 6,462.30 crore a year before that. The current estimates suggest a slightly moderated surplus, while spending continues to rise.
Sector-wise, the economy remains heavily dependent on services, which contribute around 86.32 per cent to the Gross State Value Added. The secondary sector accounts for 12.88 per cent, while the primary sector contributes just 0.80 per cent.
In real terms, Delhi's GSDP at constant prices is estimated at INR 7,76,479 crore, showing a growth of 8.53 per cent over the previous year, indicating stable expansion even after adjusting for inflation.
Source PTI
FAQ
Q1: What is Delhi's projected per capita income for 2025-26?
Delhi's per capita income is expected to reach around INR 5.31 lakh (INR 5,31,610) at current prices. This marks a growth of about 7.92% compared to the previous financial year, indicating steady economic progress.
Q2: How does Delhi compare with the national average in income levels?
Delhi's per capita income is projected to remain nearly 2.5 times higher than the national average. This highlights the city's strong economic performance and higher earning capacity.
Q3: What is the expected growth of Delhi's overall economy?
Delhi's Gross State Domestic Product (GSDP) is estimated to reach INR 13,27,055 crore, growing at 9.42% at current prices. In real terms, the economy is expected to grow by around 8.53%, showing stable expansion.
Q4: What is Delhi's fiscal position as per the economic survey?
Delhi is expected to maintain a revenue surplus of around INR 9,661.31 crore. However, the fiscal deficit is projected to increase to INR 13,703 crore due to higher capital expenditure.
Q5: Why is the fiscal deficit increasing despite a surplus?
The fiscal deficit is rising mainly because capital expenditure has more than doubled, from about INR 11,485 crore to INR 28,115 crore. This reflects increased spending on infrastructure and long-term development projects.
Q6: How are tax collections expected to perform?
Tax collections are projected to grow by 15.54%, with GST and VAT contributing the largest share of revenue. Other sources include excise, stamp duty, and motor vehicle tax.
Q7: What are the main drivers of Delhi's economy?
Delhi's economy is largely driven by the services sector, which contributes over 86% to Gross State Value Added. Strong infrastructure, welfare spending, and increased public investment also play a key role in supporting growth.
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