Meghalaya's economy grew 12.03% in 2024-25, outpacing India's GDP growth of 9.78%, even as the state's revenue receipts declined by 4.58%, mainly due to a sharp fall in central grants, the CAG said.
Meghalaya's Gross State Domestic Product (GSDP) increased from ₹53,223 crore in 2023-24 to ₹59,626 crore in 2024-25, reflecting strong economic growth during the year, according to the Comptroller and Auditor General's State Finances Audit Report tabled in the assembly on August 28.
However, revenue receipts fell from ₹17,977.86 crore to ₹17,153.91 crore during the period.
1 August 2026
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The decline was largely attributed to a 40.15% reduction in grants-in-aid from the Centre, which fell from ₹5,574.86 crore in 2023-24 to ₹3,336.37 crore in 2024-25.
The report said this was the lowest amount of central grants received by the state in five years.
Non-tax revenue also declined by 9.40%, from ₹523.25 crore to ₹474.08 crore.
The impact was partly offset by a 13.93% increase in Meghalaya's share of Union taxes and duties, which rose to ₹9,870.40 crore in 2024-25.
The state's own revenue, comprising tax and non-tax receipts, increased by 5.54% to ₹3,947.14 crore during the year.
Despite the improvement in own revenue, Meghalaya remained heavily dependent on central transfers, which accounted for 76.99% of its total revenue receipts in 2024-25. The state's own resources contributed 23.01%.
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The gap between economic growth and revenue mobilisation was also reflected in the revenue receipts-to-GSDP ratio, which declined from 33.78% in 2023-24 to 28.77% in 2024-25.
The CAG observed that the growth of Meghalaya's own tax revenue had generally remained below the pace of GSDP expansion.
It recommended broadening the tax base, strengthening compliance and improving collection efficiency to reduce dependence on central transfers and ensure sustainable fiscal management.
