Thu Mar 13 19:18:36 UTC 2025: ## Tamil Nadu’s Economic Survey Highlights Growth Uncertainties, Need for Reskilling

**Chennai, March 14, 2025** – The first-ever economic survey of Tamil Nadu, released Thursday, highlights a mixed outlook for the state’s economy. While acknowledging the state’s strengths, including its leading role in organized manufacturing and its demographic advantage, the survey also points to significant challenges that require immediate attention.

J. Jeyaranjan, Executive Vice Chairman of the State Planning Commission, stated that the survey refrained from making precise growth projections due to uncertainties surrounding climate change and the impact of artificial intelligence. He emphasized the need for adapting to technological disruptions, particularly in the industrial and services sectors, where automation and AI threaten to displace traditional jobs. The survey strongly recommends urgent reskilling initiatives to mitigate this risk.

The survey also acknowledges global economic headwinds, including trade wars, which could negatively impact Tamil Nadu’s key export sectors like automobiles and textiles. It suggests that the state should aim to transition towards a knowledge-based economy while maintaining its focus on manufacturing.

Despite concerns, Mr. Jeyaranjan confirmed that the state’s debt is within acceptable limits. While Tamil Nadu currently benefits from a large working-age population, this is projected to decline gradually. The survey urges proactive measures to enhance productivity through skill development and technological adoption to fully leverage the remaining demographic dividend. This includes focusing on employment-linked skilling programs, strengthening the gig and digital economy, and promoting high-value industries.

The survey concludes that while Tamil Nadu is well-positioned to benefit from India’s manufacturing expansion and global supply chain shifts, addressing the highlighted challenges is crucial for ensuring sustainable medium-term growth.

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