DIMAPUR JUL 18 (NPN): Nagaland has been ranked 27th among 36 States and Union Territories and sixth among the 12 North Eastern and hilly states in NITI Aayog’s Investment Friendliness Index, with an overall score of 41.2.
In the North Eastern and hilly states category, Uttarakhand emerged as the top-ranked state, followed by Assam and Himachal Pradesh. According to the report, Nagaland’s performance was driven by high regulatory ease and a strong institutional environment, with notable strengths in government policy, regulatory reforms and governance.
The report highlighted simplified business approval processes, a low crime rate and transparent land allotment and construction permit procedures as key strengths. It also noted that the state’s Investment Promotion Agency was functioning effectively, while stable law and order and supportive industrial policies had contributed to a favourable investment climate.
Nagaland also recorded a 5-year GSDP growth rate of 4.84% between FY2019 and FY2024, marginally above the national average of 4.8%. The state achieved 18% in capital expenditure incentive disbursement relative to total industrial capex, compared to the national average of 11%. It also reported a female workforce participation rate of 59%, significantly higher than the national average of 40%.
However, the report identified resources and infrastructure as major areas requiring improvement. It pointed to the need for a larger skilled workforce, enhanced airport and cargo-handling capacity, improved rail connectivity, greater 5G/4G penetration and increased digital payment adoption.
The report also suggested strengthening the state’s single-window clearance system to reduce visits to multiple offices and improving the efficiency of water connection processes, while continuing targeted skill development initiatives to support industrial growth.
Monday, July 20, 2026