Gujarat has secured the top spot in NITI Aayog’s inaugural ‘Investment Friendliness Index 2026’ among 17 major states in India. The state scored 56.6 points, surpassing Maharashtra at 53.7 and Tamil Nadu at 53.3. The assessment evaluated 84 indicators under eight pillars, covering aspects like policy, governance, infrastructure, and business facilitation.
The report highlights Gujarat’s commitment to providing a transparent and efficient business environment while emphasizing strong economic fundamentals and industrial infrastructure. One key factor noted is the Industrial Extension Bureau (iNDEXTb), which offers end-to-end support to investors through a streamlined facilitation system. The report also praises Gujarat’s industrial infrastructure, citing examples like Dholera Special Investment Region (SIR) and GIFT City as plug-and-play ecosystems that facilitate quicker project implementation.
Gujarat’s logistics strength is underscored, with the state accounting for a significant portion of India’s state highway network and having the highest estimated expressway length in the country. The report also mentions the state’s competitive power sector, with industrial electricity tariffs lower than the national average. These factors contribute to reducing operational costs and enhancing business productivity.
The report further acknowledges Gujarat’s economic indicators, such as its substantial contribution to India’s merchandise exports and impressive Gross State Domestic Product (GSDP) growth. Gujarat’s per capita GSDP is notably higher than the average of major states, reflecting a robust economic foundation. The state’s fiscal discipline is commended, with a low fiscal deficit and outstanding liabilities below the average of major states.
Gujarat’s innovation ecosystem is also recognized, with a significant number of Atal Tinkering Labs supporting innovation and entrepreneurship. The report concludes that Gujarat’s combination of policy stability, business facilitation, infrastructure, logistics connectivity, competitive utilities, fiscal prudence, and innovation capacity has propelled it to the top position in the Investment Friendliness Index 2026.
