NITI Aayog Releases Investment Friendliness Index 2026
- 18 Jul 2026
Recently, NITI Aayog released the Investment Friendliness Index (IFI) 2026. The index presents a structured and data-driven framework for assessing how effectively States and Union Territories create, enable, and sustain an environment conducive to investments.
Key Points
- Top Performers: Gujarat secured the first position in the index, followed by Maharashtra, Tamil Nadu, Goa, and Odisha. These states are the Top Performers.
- 15 States have been classified as Frontrunners, while eight States/UTs have been placed in each Emerging Performers and Aspiring States categories.
- Reasons for High Rankings: According to NITI Aayog, Gujarat's robust port and power infrastructure, Maharashtra's ability to attract private equity and venture capital, and Tamil Nadu's strong infrastructure and export performance contributed to their high rankings.
- Assessment Criteria: The index evaluates all 28 States and 8 Union Territories based on eight key pillars: Infrastructure, Business Climate, Resources, Government Policy, Regulatory Ease, Institutional Environment, Financial Health, and Environmental Resilience.
- Classification of States: The report classifies the States and Union Territories into four categories:
- Top Performers
- Frontrunners
- Emerging Performers
- Aspiring States
- Key Findings: The report notes that India has recorded significant economic growth over the past three decades. However, to achieve the status of a high-income nation by 2047, it will be necessary to further accelerate both the investment rate and the pace of economic growth.
- Role of States: According to the report, state-level reforms aimed at improving the ease of doing business, strengthening infrastructure, and ensuring policy stability will play a crucial role in enhancing India's investment ecosystem.
