Overview
On February 2, 2026, the 20th edition of the Bihar Economic Survey 2025-26 was tabled in the State Assembly. Finance Minister Bijendra Prasad Yadav highlighted that Bihar recorded a **13.1%** economic growth in FY 2024-25, markedly higher than the national average of **9.8%**. The report underscores a high‑growth trajectory driven by macro‑economic stability, sectoral diversification, increased investment, and a sustained focus on human capital, employment generation, and infrastructure.
Key Developments
- Robust GSDP Expansion: Bihar’s Gross State Domestic Product (GSDP) rose to ₹9,91,997 crore at current prices and ₹5,31,372 crore at constant (2011‑12) prices, reflecting an 13.1% and 8.6% growth respectively.
- Sectoral Performance: The secondary sector’s GSVA grew by **11.1%** (constant) and **15.5%** (current); the tertiary sector recorded **8.9%** (constant) and **13.5%** (current) growth; the primary sector expanded by **4.1%** (constant) and **9.6%** (current).
- Fiscal Discipline: State expenditure increased from ₹1.66 lakh crore (2020‑21) to ₹2.82 lakh crore (2024‑25) with moderate borrowing and effective debt servicing, prioritising education, health, energy, transport, irrigation and agriculture.
Important Facts
- Per‑Capita GSDP: Rose from ₹46,412 (2020‑21) to ₹76,490 (2024‑25) at current prices; at constant prices, from ₹30,159 to ₹40,973.
- Lowest Per‑Capita Income: Despite high growth, Bihar still records the lowest per‑capita income in India, highlighting persistent fiscal constraints and the need for stronger growth impetus.
Exam Relevance
This survey touches upon multiple UPSC syllabus areas: Indian Economy (growth rates, sectoral contribution, fiscal management), State‑Specific Economic Development (regional disparities, per‑capita income), and Public Finance (expenditure trends, debt servicing). Questions may appear in GS‑II (Economic Development, Poverty, Inequality) or GS‑III (Infrastructure, Agriculture, Industry) and as case‑study material for optional subjects like Economics or Geography.
Way Forward
To translate high growth into inclusive development, Bihar must bridge the per‑capita income gap through accelerated investment in human capital, technology‑driven agriculture, and value‑added manufacturing. Strengthening fiscal space via central transfers and efficient tax administration can sustain the growth momentum while ensuring equitable distribution across regions.