Gandhinagar, Jul 18: Gujarat has emerged as India’s most investment-friendly state, securing the top rank in NITI Aayog’s inaugural Investment Friendliness Index 2026 with a score of 56.6, ahead of Maharashtra (53.7) and Tamil Nadu (53.3).
The index, which assessed 17 major states across 84 indicators under eight pillars, evaluates the entire investment lifecycle—from policy and governance to infrastructure, business facilitation and fiscal management. The ranking reinforces Gujarat’s position as a preferred destination for domestic and global investors.
The report attributes Gujarat’s performance to its stable policy environment and investor-centric governance. It highlights the role of the Industrial Extension Bureau (iNDEXTb), whose single-window facilitation system streamlines approvals and provides end-to-end support for investors. A time-bound mechanism for obtaining statutory clearances and No Objection Certificates (NOCs) has also helped reduce project delays.
The index further notes that restrictions on strikes in essential services have contributed to industrial peace, providing businesses with a stable operating environment. Gujarat’s industrial infrastructure is cited as one of its strongest advantages. Investment hubs such as Dholera Special Investment Region (SIR), GIFT City, Sanand, Dahej, Jhagadia and Saykha offer plug-and-play facilities that enable industries to establish operations quickly while reducing project costs and execution time.
The report also credits the Vibrant Gujarat Global Summit for attracting substantial domestic and international investment commitments, strengthening the state’s global investment profile.
On logistics and connectivity, Gujarat accounts for nearly 10 per cent of India’s state highway network—almost four times the national average—and has the country’s highest estimated expressway length at 635 kilometres. Nearly 7 per cent of India’s railway network passes through the state, contributing to efficient logistics and stronger supply chain competitiveness.
The index identifies affordable and reliable power as another key advantage. Industrial electricity tariffs in Gujarat are nearly 29 per cent lower than the national average, while industries receive an average daily power supply of 23.8 hours, helping lower operating costs and improve productivity.
The report also highlights Gujarat’s strong economic fundamentals. The state contributes 31 per cent of India’s merchandise exports and recorded the third-highest Gross State Domestic Product (GSDP) growth among states during FY2019-24. Its per capita GSDP stands at
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