• By 2025
  
  
• India will be 38% urbanised
• 79 metropolitan districts will account for 50% of India’s income pool, with the top quartile accounting for about half of it
• 49 metropolitan clusters will account for about 77% of incremental GDP
• These 49 clusters will provide access to 77% of India’s incremental GDP through 2025
• 21 ‘high growth-high affluence’ clusters will provide access to 47% of India’s income pool in 2025 and 44% of its consuming class
• These ‘high growth-high affluence’ clusters will outperform on core urban infrastructure
• 8 of 12 ‘very high’ and ‘high performing’ states will be on average 55% urbanised
• The number of ‘aspiring’ households will increase 1.5 times from 33 million to 51 million in the five largest ‘performing’ states
• Some ‘low performing’ states will need to grow 1.5 times faster to catch-up with India’s per capita GDP of 2012
• ‘High performing’ states will continue to capture a major share of India’s consuming class
• Living standards of ‘performing’ states will mirror that of ‘high performing’ states today
• ‘High performing’ states will offer markets as large as global middle income countries in 2012
• The standard of living in ‘very high’ and ‘high performing’ states will mirror that of high and middle-income nations today.

High performing states

Gujarat

• The state’s structural advantages – its long coastline, deep sea ports and strong entrepreneurial culture – contributed to its fast pace of growth
• These factors were bolstered by its well-functioning administrative machinery, investment in infrastructure and emphasis on vocational training
• Gujarat accompanied the manufacturing thrust with focused efforts to improve agricultural productivity and service sector growth

Tamil Nadu 

It has strong fundamentals such as skilled manpower, a favourable investment climate, and reasonable infrastructure

• Has three of India’s 13 major sea ports
• Chennai has emerged as an IT centre over the past decade. The rise of its adjoining areas as a major automotive hub also gave a fresh impetus to the state’s growth
• Chennai is India’s biggest automotive cluster today accounting for about 30% of all automotive manufacturing in the country

Low performers and their potential

Bihar 

• Efforts to improve the enforcement of law and order, and a modest increase in physical infrastructure, especially road connectivity, have made Bihar one of the fastest growing states

Madhya Pradesh

• The power sector was reformed – separate feeder lines for farmers and domestic users in rural areas were established and distribution companies were restructured
• Post 2008, Bihar and Madhya Pradesh have been on a path of convergence propelled by strong governance and focus on economic reforms
  
  Read the full report here.