Published:  05:34 PM, 03 October 2025

North East Indian states witness improvement in socioeconomic parameters

North East Indian states witness improvement in socioeconomic parameters
A healthy mix of targeted schemes, region-specific incentives, and intensive connectivity projects has translated into faster improvements of human development indicators in Northeast India, driving fresh momentum for the local economy. The past ten years have witnessed the northeastern states quietly moving from the margins toward the centre of national policy, thanks to New Delhi’s focus on holistic growth, regional integration and inclusive and sustainable development. 

The dedication and focus of the Government of India can be gauged from the whopping 47.6 percent increase in the annual budgetary allocation, which amounts to INR 59.15 billion this year.  The Indian Prime Minister Narendra Modi-led government has pursued a transformative approach for the inclusive development of North East India. “Your dreams are my resolutions. This spectacle will give strength to the nation,” said Modi after laying the foundation stone for hydro and solar projects in the region.

The holistic and committed efforts over the past decade have led the historic gaps between the eight Northeastern states and the rest of the country to shrink in recent years. Over four-fifths of 121 districts in the region have shown remarkable performance in the SDG Index (2023-24), according to the NITI Aayog, the premier policy think tank of the Government of India. A majority of them have entered the “front-runner” band for progress across health, education, water and sanitation, and other SGD goals. 

All these states—Assam, Arunachal Pradesh, Sikkim, Meghalaya, Manipur, Nagaland, Mizoram, and Tripura—have now witnessed improved socio-economic conditions. Government programmes could reach grassroots targets and achieve their objectives due to an active push, dedicated funds, and incentives for the northeastern states. All this led to the seamless and efficient implementation of infrastructure projects, social services, and livelihood generation plans, while also taking into account the specific needs of these states. 

PM-DevINE (Prime Minister’s Development Initiative for North East Region) filled the gaps left by general schemes, accelerated the socioeconomic progress and caused rapid, inclusive and holistic development of the region.  The Government of India has increased financial support to the northeastern states through budgetary allocations, equity support, special grants, central sector schemes, concessional loans, targeted infrastructure funds, tax incentives, and capacity-building programs. 

A report titled “State Finances of North Eastern States” showed that the financial condition of these states was good due to optimum allocation of funds from different ministries under the New Delhi government. “Our fiscal position is now good. We are making committed expenditure as well as releasing funds for the major road and infrastructure projects. No major finance crunch in any sector,” said Pranajit Singha Roy, the Finance Minister of Tripura.  

The transport connectivity and urban infrastructure have seen a huge transformation. Several new overland routes and flight operations have brought the region closer to the rest of India and different parts of the world, providing a fillip to economic development. The inter-state connectivity has improved due to better roads and a reduction in travel time by 30-40 percent. 

While Bharatmala Pariyojana, a national road development project, facilitated highway construction in northeastern states, a specific initiative called North East Special Infrastructure Development Scheme (NESIDS) propelled the rapid implementation of road projects. The Government of India increased allocation to the NESIDS to INR 24.81 billion in 2025-26 from INR 15 billion a year ago.  

Almost every household, even in remote and hilly parts, now has round-the-clock access to electricity as the government has expanded the coverage of renewable energy projects, particularly small hydro and solar. Ronsing Phangcho from Assam’s Ailathal Karbi Punjee appeared a happy man as his village got electricity for the first time. Getting solar power is like a dream come true, as we had been longing for such facilities in our village.  We had been expecting it for years but today with the hard work of the village leaders and cooperation of Seva Kendra Silchar, the entire village got solar power from the Government,” he said.  

Piped water and clean cooking fuel coverage are expanding. Arunachal Pradesh achieved 100 percent saturation in piped water despite the state having hilly and difficult terrain. “We had water scarcity. Whatever little water was available had lots of iron content. But with the installation of tap water connection in my house, I get potable water now,” said Kuladhar Keleng, from Manipur village.   

As New Delhi seeks to integrate the Northeastern region with Southeast Asia, several promotion programmes are held to boost tourism and hospitality, agro-food processing, textiles and handicrafts, among others. Entrepreneurial skills are encouraged among women from the northeastern states with the help of the Swavalambini programme, in which the latest industry insights, business incubation strategies, and hands-on coaching techniques are taught. 

Written by: Sun Lee (The author is the pseudonym for a writer who covers Asia and geopolitical affairs.)

>> Source: Mizzima 



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