Economy of Chennai

The Chennai Port, one of the biggest in South Asia

Chennai, formerly known as Madras, is the capital city of the Indian state of Tamil Nadu. As of 2020 the GDP (PPP) of the Chennai is $219 billion with an urban population of 1.09 crore.[1][2]

Chennai has an economic base anchored by the automobile, software services, medical tourism, hardware manufacturing and financial services sectors with which it contributes to around 26% of Economy of Tamil Nadu.[3] As of 2025, according to the Confederation of Indian Industry (CII), Chennai Metropolitan area comprising districts of Chennai, Thiruvallur, Kanchipuram, Ranipet and Chengalpattu is projected to achieve an estimated GDP (nominal) of $100 billion.[4][5] Other important industries include petrochemicals, textiles, apparels. The Chennai Port and Ennore Port contribute greatly to its importance.

Chennai was recently rated as having the highest quality of life among Indian cities ahead of the other three metros Mumbai, Delhi, Kolkata, based on the "Location Ranking Survey" conducted by ECA International. Chennai has improved its global ranking to 138 in 2006–07 from 179 in 2002–03. It is now ranked at 26th position in Asia in terms of livability, up from 31st rank in 2002–03.[6] According to a 2007 worldwide quality of life survey done by Mercer, Chennai received the second highest rating in India,[7] with New Delhi scoring the highest,[7] and came in at a relatively low 157th worldwide.[7] The reason was attributed to poor health and sanitation, and the increasing air pollution.[8] It has the distinction of being called as the Detroit of Asia, due to its large manufacturing industry.

As of 2012, the city has about 34,260 identified companies in its 15 zones. Of these, 5,196 companies has a paid-up capital of over ₹ 5 million, about 16,459 companies are in the paid up capital range of ₹ 100,000 to ₹ 200,000, and 2,304 companies have a paid-up capital of less than ₹ 100,000.[9]

  1. ^ "Chennai - India". Retrieved 7 November 2024.
  2. ^ https://urbanemissions.info/wp-content/uploads/ncap/airshed_infographs/airshedinfo_TN_chennai.png
  3. ^ "Regional Imbalance in Tamil Nadu" (PDF).
  4. ^ "Chennai to achieve USD$100 Billion GDP Nominal by 2025". fametn.com. Retrieved 6 September 2024.
  5. ^ "Chennai to achieve USD$100 Billion GDP nominal by 2025". Research gate.
  6. ^ "5 cities improve their rankings: Survey". The Economic Times. India. 15 March 2007. Retrieved 8 March 2007.
  7. ^ a b c "Worldwide Quality of Living Survey". PRNewswire. 2 April 2007. Retrieved 16 April 2007.
  8. ^ "Mercer - Our Thinking, Insights, and Perspectives".
  9. ^ "Company tax upped, capped at Rs. 30,000". The Hindu. Chennai. 30 October 2012. Retrieved 30 October 2012.