| Continent: | South Asia |
| Population: | 2 billion |
| Gdp: | |
| Per Capita: |
|
| Growth: | 5.9% (2024 est.)[2] |
| Inflation: | 7.2% (2022) |
| Unemployment: | 7% (2022) |
| Debt: | 78.8% of GDP (2023 est.) |
| Footnote: | Most numbers are from the International Monetary Fund. IMF South Asia Datasets |
The economy of South Asia comprises 2 billion people (25% of the world population) living in eight countries (though Afghanistan is sometimes excluded).[3] [4] The Indian subcontinent was historically one of the richest regions in the world, comprising 25% of world GDP as recently as 1700,[5] [6] but experienced significant de-industrialisation and a doubling of extreme poverty during the colonial era of the late 18th to mid-20th century.[7] In the post-colonial era, South Asia has grown significantly, with India advancing because of economic liberalisation from the 1980s onwards,[8] and extreme poverty now below 15% in the region.[9] South Asia has been the fastest-growing region of the world since 2014.[10]
Despite projected growth rates of about 6.0-6.1 percent for 2024-2025, South Asia continues to face significant economic challenges. A notable slowdown in private investment, especially in key sectors such as manufacturing and services, poses a major concern. Additionally, persistent employment issues, particularly low female workforce participation, highlight broader socio-economic disparities. The region is also critically vulnerable to climate-related impacts, including flooding and heatwaves, which significantly affect the agricultural sector—a fundamental component of local economies. This environmental susceptibility strains the already limited capacity of the public sector to adapt, increasing dependence on resilience initiatives from local businesses, farmers, and vulnerable communities.[11]
See main article: Economic history of the Indian subcontinent.
See also: Economy of India under Company rule.
India is the largest economy in the region (US$4.11 trillion) and makes up almost 80% of the South Asian economy; it is the world's 5th largest economy in nominal terms and the world's 3rd largest economy by purchasing power adjusted exchange rates (US$14.26 trillion).[12] India is the member of G-20 major economies and BRICS from the region. It is the fastest-growing major economy in the world and one of the world's fastest registering a growth of 7.2% in FY 2022-23.[13]
India is followed by Bangladesh, which has a GDP of ($446 billion).
a. It is one of the emerging and growth-leading economies of the world, and is also listed among the Next Eleven countries. It is also one of the fastest-growing middle-income countries. It has the world's 33rd largest GDP in nominal terms and is th5 27th largest by purchasing power adjusted exchange rates (476015 trillion). Bangladesh's economic growth was 6.4% in 2022.[14] Pakistan has an economy of ($40 billio nominal GDPn..[15] Next is Sri Lanka, which has the 2nd highest GDP per capita and the 4th largest economy in the region.
Certain parts of South Asia are significantly wealthier than others; the four Indian states of Maharashtra, Tamil Nadu, Gujarat and Karnataka are projected to account for almost 50% of India's GDP by 2030, while the five South Indian states comprising 20% of India's population are expected to contribute 35% of India's GDP by 2030.[16]
The major stock exchanges in the region are Bombay Stock Exchange (BSE) with market Capitalization of $3.8 trillion (8th largest in the world), National Stock Exchange of India (NSE) with market capitalization of $3.27 trillion (9th largest in the world), Dhaka Stock Exchange (DSE), Colombo Stock Exchange (CSE), and Pakistan Stock Exchange (PSX) with market capitalization of $72 billion. Economic data is sourced from the International Monetary Fund, current as of April 2017, and is given in US dollars.[17]
India is home to the Indian Premier League, which is the second-most valued sports league in the world on a per-match basis.[18]
English Belt (Anglosphere): United States of America (USA), United Kingdom (England), Canada, Australia and New Zealand
India (Indian Union) is a "Union-cum-Country", Pakistan (Pakistani Union) is also a "Union-cum-Country". Bangladesh (East Bengal) is a "State-cum-Country", Nepal is also a "State-cum-Country", Sri Lanka is also a "State-cum-Country".
Maharashtra is a "State-only", not a "State-cum-Country", Tamil Nadu is also a "State-only", not a "State-cum-Country", West Bengal is also a "State-only", not a "State-cum-Country".
India's South India: India's Tamil Nadu, Karnataka, Telangana, Andhra Pradesh and Kerala
India (Indian Union) and Nepal
Bangladesh (East Bengal), West Bengal and Tripura
Uttar Pradesh, Rajasthan, Madhya Pradesh, Delhi, Haryana, Bihar, Chhattisgarh, Jharkhand, Jammu & Kashmir, Uttarakhand and Himachal Pradesh
Bangladesh (East Bengal), Pakistan (Pakistani Union), Afghanistan and Maldives
Pakistan's Punjab (West Punjab) and India's Punjab (East Punjab)
Myanmar (Burma), Sri Lanka and Bhutan
Continents, Unions, Countries, Belts, Regions, States and Cities by Nominal GDP Per Capita (2023–2024) and Nominal GDP (2023-2024)
| Rank | Union/Belt/Region/State/City | Real Economy (Nominal GDP Per Capita) | Nominal Economy (Nominal GDP) | Population (2021) | Language |
|---|---|---|---|---|---|
| 1 | United States of America's New York (NY) | $1,00,000 (720%) | $2.3 Trillion | 2.3 crore | English |
| 2 | United States of America (USA) | $84,800 (610%) | $28 Trillion (25%) | 33 crore (4%) | English |
| 3 | English Belt (Anglosphere) | $77,400 (560%) | $36 Trillion (33%) | 46.5 crore (6%) | English |
| 4 | Europe's Germany | $55,200 | $4.7 Trillion | 8.5 crore | German |
| 5 | United Kingdom (England) | $53,700 | $3.6 Trillion | 6.7 crore | English |
| 6 | Europe's France | $47,700 | $3.2 Trillion | 6.7 crore | French |
| 7 | Europe (European Union) | $44,400 (320%) | $20 Trillion (18%) | 45 crore (5.5%) | English |
| 8 | Japan | $33,000 | $4.3 Trillion | 13 crore | Japanese |
| 9 | Saudi Arabia | $30,500 | $1.1 Trillion | 3.6 crore | Arabic |
| 10 | India's Delhi (National Capital Territory) | $14,000 (520%) | $294 Billion | 2.1 crore | Hindi |
| 11 | World | $13,900 (100%) | $110 Trillion (100%) | 790 crore (100%) | English |
| 12 | China | $13,400 (96%) | $19 Trillion (17%) | 141 crore (18%) | Chinese |
| 13 | Russia | $12,600 | $1.9 Trillion | 15 crore | Russian |
| 14 | Maharashtra's Mumbai (Bombay) | $12,300 (450%) | $320 Billion | 2.6 crore | Marathi |
| 15 | Non-English Belt (Non-Anglosphere) | $9,900 (71%) | $74 Trillion (67%) | 743.5 crore (94%) | English |
| 16 | Tamil Nadu's Chennai (Madras) | $9,000 | $100 Billion | 1.1 crore | Tamil |
| 17 | Asia | $8,900 (64%) | $43 Trillion (39%) | 480 crore (60%) | English |
| 18 | Karnataka's Bengaluru (Bangalore) | $8,300 | $100 Billion | 1.2 crore | Kannada |
| 19 | Telangana's Hyderabad | $8,000 | $80 Billion | 1 crore | Telugu |
| 20 | Bangladesh's Dhaka (Dacca) | $7,800 | $180 Billion | 2.3 crore | Bengali |
| 21 | Arabic Belt (Arabia) | $7,400 | $3.5 Trillion | 47 crore | Arabic |
| 22 | West Bengal's Kolkata (Calcutta) | $6,800 | $110 Billion | 1.6 crore | Bengali |
| 23 | India's Gujarat | $4,900 | $320 Billion | 6.5 crore | Gujarati |
| 24 | India's Haryana | $4,600 | $140 Billion | 3 crore | Hindi |
| 25 | India's Karnataka | $4,500 | $320 Billion | 7 crore | Kannada |
| 26 | India's Telangana | $4,500 | $180 Billion | 4 crore | Telugu |
| 27 | India's Dravidian Belt | $4,200 (155%) | $1.2 Trillion (30%) | 28.5 crore (20%) | English |
| 28 | India's Tamil Nadu | $4,200 | $360 Billion | 8.5 crore | Tamil |
| 29 | India's Kerala | $4,200 | $150 Billion | 3.5 crore | Malayalam |
| 30 | India's Maharashtra | $4,000 (145%) | $520 Billion (13%) | 13 crore (9%) | Marathi |
| 31 | Sindh's Karachi | $3,900 | $90 Billion | 2.3 crore | Sindhi |
| 32 | India's Non-Hindustani (Non Hindi-Urdu) Belt | $3,600 (130%) | $2.6 Trillion (67%) | 71.5 crore (51%) | English |
| 33 | India's Andhra Pradesh | $3,200 | $180 Billion | 5.5 crore | Telugu |
| 34 | Sri Lanka | $3,100 | $70 Billion | 2.2 crore | Sinhala |
| 35 | Africa | $3,000 | $3 Trillion | 100 crore | English |
| 36 | India's Punjab (East Punjab) | $3,000 | $90 Billion | 3 crore | Punjabi |
| 37 | India (Indian Union) | $2,700 (100%) | $3.9 Trillion (100%) | 141 crore (100%) | English |
| 38 | Bangladesh (East Bengal) | $2,700 | $460 Billion | 17 crore | Bengali |
| 39 | Bengali Belt (Bengal) | $2,500 | $710 Billion | 27.5 crore | Bengali |
| 40 | India's Rajasthan | $2,500 | $200 Billion | 8 crore | Hindi |
| 41 | India's West Bengal | $2,400 | $240 Billion | 10 crore | Bengali |
| 42 | India's Odisha | $2,300 | $110 Billion | 4.7 crore | Odia |
| 43 | India's Madhya Pradesh | $2,100 | $180 Billion | 8.5 crore | Hindi |
| 44 | India's Assam | $2,000 | $70 Billion | 3.5 crore | Assamese |
| 45 | India's Chhattisgarh | $2,000 | $60 Billion | 3 crore | Hindi |
| 46 | Punjabi Belt (Punjab) | $1,900 | $290 Billion | 15 crore | Punjabi |
| 47 | India's Hindustani (Hindi-Urdu) Belt | $1,800 (66%) | $1.3 Trillion (33%) | 69.5 crore (49%) | Hindi |
| 48 | Pakistan's Punjab (West Punjab) | $1,600 | $200 Billion | 12 crore | Punjabi |
| 49 | Pakistan's Sindh | $1,600 | $100 Billion | 6 crore | Sindhi |
| 50 | Pakistan (Pakistani Union) | $1,400 | $350 Billion | 24 crore | Urdu |
| 51 | Myanmar | $1,400 | $80 Billion | 5.5 crore | Burmese |
| 52 | Nepal | $1,300 | $40 Billion | 3 crore | Nepali |
| 53 | India's Uttar Pradesh | $1,200 | $310 Billion | 24 crore | Hindi |
| 54 | India's Jharkhand | $1,200 | $50 Billion | 4 crore | Hindi |
| 55 | India's Bihar | $840 | $110 Billion | 13 crore | Hindi |
| 56 | Afghanistan | $370 | $15 Billion | 4 crore | Pashtun |
| Country [20] [21] [22] | GDP | Inflation(2022)[23] | HDI | ||||||
|---|---|---|---|---|---|---|---|---|---|
| Nominal GDP (in millions) (2022) (%Share)[24] | GDP per capita(2022)[25] | GDP (PPP) (in millions) (2022) (%Share) | GDP (PPP) per capita (2022) | GDP growth(2022)[26] | HDI (Rank)(2022)[27] | Inequality-adjusted HDI (Rank) (2022)[28] | |||
| [29] | $20,136 (2020) | $611 (2020) | $80,912 (2020) | $2,456 (2020) | -2.4% (2020) | 5.6% (2020) | 0.462(182nd) (low) | 0.300(154th)(low) | |
| $460,751 (10.41%) | $2,734 | $1,345,646 (8.97%) | $7,985 | 7.2% | 6.1% | 0.670(129th) (medium) | 0.470(112th) (low) | ||
| $2,707 (0.06%) | $3,562 | $9,937 (0.07%) | $13,077 | 4.0% | 7.7% | 0.681(125th) (medium) | 0.465(114th) (low) | ||
| $3,468,566 (78.35%) | $2,466 | $11,665,490 (77.74%) | $8,293 | 6.8% | 6.9% | 0.644(134th) (medium) | 0.444(118th) (low) | ||
| $5,900 (0.13%) | $15,097 | $12,071 (0.08%) | $30,888 | 8.7% | 4.3% | 0.762(87th) (high) | 0.597(86th) (medium) | ||
| $39,028 (0.88%) | $1,293 | $141,161 (0.94%) | $4,677 | 4.2% | 6.3% | 0.601(146th) (medium) | 0.424(121st) (low) | ||
| $376,493 (8.50%) | $1,658 | $1,512,476 (10.08%) | $6,662 | 6.0% | 12.10% | 0.540(164th) (low) | 0.360(134th) (low) | ||
| $73,739 (1.67%) | $3,293 | $318,690 (2.12%) | $14,230 | align="right" | -8.7% | 48.2% | 0.780(78th) (high) | 0.630(75th) (medium) | |
| South Asia[30] | $4,427,184 (100%) | $2,385 | $15,005,471 (100%) | $8,085 | 6.4% | 8.1% | 0.641 (medium) | - | |
| Rank | Country/Union/Region/State/City | Real Economy (Nominal GDP Per Capita) | Nominal Economy (Nominal GDP) | Population (2021) | Language | Language Family |
|---|---|---|---|---|---|---|
| 1 | China's Hong Kong | $54,600 | $410 Billion | 75 lakh | Chinese | Sino-Tibetan |
| 2 | China's Beijing | $30,000 | $660 Billion | 2.2 crore | Chinese | Sino-Tibetan |
| 3 | China's Shanghai | $26,200 | $710 Billion | 2.7 crore | Chinese | Sino-Tibetan |
| 4 | China | $13,400 | $19 Trillion | 141 crore | Chinese | Sino-Tibetan |
| 5 | Maharashtra's Mumbai (Bombay) | $12,300 (450%) | $320 Billion | 2.6 crore | Marathi | Indo-European |
| 6 | Tamil Nadu's Chennai (Madras) | $9,000 | $100 Billion | 1.1 crore | Tamil | Dravidian |
| 7 | Karnataka's Bengaluru (Bangalore) | $8,300 | $100 Billion | 1.2 crore | Kannada | Dravidian |
| 8 | Telangana's Hyderabad | $8,000 | $80 Billion | 1 crore | Telugu | Dravidian |
| 9 | Bangladesh's Dhaka (Dacca) | $7,800 | $180 Billion | 2.3 crore | Bengali | Indo-European |
| 10 | India's Delhi (National Capital Territory) | $7,100 | $150 Billion | 2.1 crore | Hindi (Hindustani) | Indo-European |
| 11 | West Bengal's Kolkata (Calcutta) | $6,800 | $110 Billion | 1.6 crore | Bengali | Indo-European |
| 12 | India's Gujarat | $4,900 | $320 Billion | 6.5 crore | Gujarati | Indo-European |
| 13 | India's Haryana | $4,600 | $140 Billion | 3 crore | Hindi (Hindustani) | Indo-European |
| 14 | India's Karnataka | $4,500 | $320 Billion | 7 crore | Kannada | Dravidian |
| 15 | India's Telangana | $4,500 | $180 Billion | 4 crore | Telugu | Dravidian |
| 16 | India's South India | $4,200 (155%) | $1.2 Trillion (30%) | 28.5 crore (20%) | English | Indo-European |
| 17 | India's Tamil Nadu | $4,200 | $360 Billion | 8.5 crore | Tamil | Dravidian |
| 18 | India's Kerala | $4,200 | $150 Billion | 3.5 crore | Malayalam | Dravidian |
| 19 | India's Maharashtra | $4,000 (145%) | $520 Billion (13%) | 13 crore (9%) | Marathi | Indo-European |
| 20 | Sindh's Karachi | $3,900 | $90 Billion | 2.3 crore | Sindhi | Indo-European |
| 21 | India's Uttarakhand | $3,300 | $40 Billion | 1.2 crore | Hindi (Hindustani) | Indo-European |
| 22 | India's Andhra Pradesh | $3,200 | $180 Billion | 5.5 crore | Telugu | Dravidian |
| 23 | Sri Lanka | $3,100 | $70 Billion | 2.2 crore | Sinhala | Indo-European |
| 24 | India's Punjab (East Punjab) | $3,000 | $90 Billion | 3 crore | Punjabi | Indo-European |
| 25 | India (Indian Union) | $2,700 (100%) | $3.9 Trillion (100%) | 141 crore (100%) | English | Indo-European |
| 26 | Bangladesh (East Bengal or East Pakistan) | $2,700 | $460 Billion | 17 crore | Bengali | Indo-European |
| 27 | India's Rajasthan | $2,500 | $200 Billion | 8 crore | Hindi (Hindustani) | Indo-European |
| 28 | India's North India | $2,400 (90%) | $2.7 Trillion (70%) | 112.5 crore (80%) | English | Indo-European |
| 29 | India's West Bengal | $2,400 | $240 Billion | 10 crore | Bengali | Indo-European |
| 30 | India's Odisha | $2,300 | $110 Billion | 4.7 crore | Odia | Indo-European |
| 31 | India's Madhya Pradesh | $2,100 | $180 Billion | 8.5 crore | Hindi (Hindustani) | Indo-European |
| 32 | India's Assam | $2,000 | $70 Billion | 3.5 crore | Assamese | Indo-European |
| 33 | India's Chhattisgarh | $2,000 | $60 Billion | 3 crore | Hindi (Hindustani) | Indo-European |
| 34 | India's Jammu & Kashmir | $2,000 | $30 Billion | 1.5 crore | Urdu (Hindustani) | Indo-European |
| 35 | Pakistan's Punjab (West Punjab) | $1,600 | $200 Billion | 12 crore | Punjabi | Indo-European |
| 36 | Pakistan's Sindh | $1,600 | $100 Billion | 6 crore | Sindhi | Indo-European |
| 37 | Pakistan (Pakistani Union or West Pakistan) | $1,400 | $350 Billion | 24 crore | Urdu (Hindustani) | Indo-European |
| 38 | Myanmar (Burma) | $1,400 | $80 Billion | 5.5 crore | Burmese | Sino-Tibetan |
| 39 | Nepal | $1,300 | $40 Billion | 3 crore | Nepali | Indo-European |
| 40 | India's Uttar Pradesh | $1,200 | $310 Billion | 24 crore | Hindi (Hindustani) | Indo-European |
| 41 | India's Jharkhand | $1,200 | $50 Billion | 4 crore | Hindi (Hindustani) | Indo-European |
| 42 | Pakistan's Khyber Pakhtunkhwa (Afghan Pradesh) | $870 | $35 Billion | 4 crore | Pashtun | Indo-European |
| 43 | India's Bihar | $840 | $110 Billion | 13 crore | Hindi (Hindustani) | Indo-European |
| 44 | Afghanistan | $370 | $15 Billion | 4 crore | Pashtun | Indo-European |
See also: Poverty in India, Poverty in Pakistan and Poverty in Bangladesh. Poverty rates vary greatly throughout the region, with a majority of Afghanistan relying on humanitarian aid,[31] and 40% of Sri Lankans slipping into poverty due to the economic crisis that started in 2019.[32]
| Country[33] [34] [35] | Population below poverty line (at $1.9/day) | Global Hunger Index (2021)[36] | Population under-nourished (2015)[37] | Life expectancy (2019)[38] (global rank) | Global wealth report (2019)[39] [40] [41] | ||||||
|---|---|---|---|---|---|---|---|---|---|---|---|
| World Bank[42] (year) | 2022 Multidimensional Poverty Index Report (MPI source year)[43] | Population in Extreme poverty (2022)[44] | CIA Factbook (2015)[45] | Total national wealth in billion USD (global rank) | Wealth per adult in USD | Median wealth per adult in USD (global rank) | |||||
| 54.5% (2016) | 55.91% (2015–16) | 18% | 36% | 28.3 (103rd) | 26.8% | 63.2 (160th) | 25 (116th) | 1,463 | 640 (156th) | ||
| 24.3% (2016) | 24.64% (2019) | 4% | 31.5% | 19.1 (76th) | 16.4% | 74.3 (82nd) | 697 (44th) | 6,643 | 2,787 (117th) | ||
| 8.2% (2017) | 37.34% (2010) | 4% | 12% | No data | No data | 73.1 (99th) | No Data | No Data | No Data | ||
| 21.9% (2011) | 14.9% (2019–21) | 0.9% | 29.8% | 27.5 (101st) | 15.2% | 70.8 (117th) | 12,614 (7th) | 14,569 | 3,042 (115th) | ||
| 8.2% (2016) | 0.77% (2016–17) | 4% | 16% | No data | 5.2% | 79.6 (33rd) | 7 (142nd) | 23,297 | 8,555 (74th) | ||
| 25.2% (2010) | 17.50% (2019) | 8% | 25.2% | 19.1 (76th) | 7.8% | 70.9 (116th) | 68 (94th) | 3,870 | 1,510 (136th) | ||
| 24.3% (2015) | 38.33% (2017–18) | 5% | 12.4% | 24.7 (94th) | 22% | 69.3 (144th) | 465 (49th) | 4,096 | 1,766 (128th) | ||
| 4.1% (2016) | 2.92% (2016) | 5% | 8.9% | 16 (65th) | 22% | 76.9 (54th) | 297 (60th) | 20,628 | 8,283 (77th) | ||
In the South Asia Development Update for April 2024, the World Bank reports that South Asia is projected to sustain its position as a leading growth region among emerging markets, largely propelled by India's robust economic performance. Nonetheless, the region's dependency on the public sector for economic progress, combined with a lag in private investment and the presence of macroeconomic challenges such as high levels of debt and fiscal deficits, poses risks to its stability and growth. These factors may impede the region's capacity to effectively address climate-related issues and to make the most of the demographic dividend offered by its young population. The World Bank emphasizes the critical need for policy reforms aimed at stimulating job creation, particularly for women and in non-agricultural sectors, and for fostering private sector development to ensure continued economic growth and to leverage the demographic dividend. The update highlights that strategic responses to climate change and a focus on creating a resilient job market are indispensable for maintaining the momentum of South Asia's development trajectory.[46] [47]