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Gujarat has secured the top position in NITI Aayog's first-ever Investment Friendliness Index, followed by Maharashtra and Tamil Nadu. The index evaluates how effectively Indian states create an environment that attracts, facilitates, and sustains investments over the long term. Unlike previous rankings focused mainly on ease of doing business, this framework considers infrastructure, logistics, regulatory ease, fiscal health, skilled workforce, institutional capacity, environmental resilience, and policy support.
In this video, we explain the objectives of the Investment Friendliness Index, its methodology, the ranking of states, the eight pillars used for assessment, and its significance for India's investment climate, economic growth, and foreign direct investment (FDI). We also discuss why this report is important for UPSC Prelims, Mains, and other competitive examinations.
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