Meghalaya is in the northeast of India. The state shares its border on the north and the east with Assam and on the south and the west with Bangladesh.

Meghalaya, with an average annual rainfall of 1,150 cm, receives the highest amount of rainfall in the country. The diverse range of soil types, including red-loamy and laterite, support various agricultural crops like rice, maize, pulses, oilseeds, cotton, jute, and mesta. The state has achieved success in the cultivation of non-traditional crops like tea, cashew nuts, oilseeds, tomato, mushroom, wheat, etc. During 2019-20*, the state produced 393.51 thousand tonnes of fruits and 75.38 thousand tonnes of spices.

At current prices, the gross state domestic product (GSDP) of Meghalaya is estimated at Rs. 0.46 trillion (US$ 5.68 billion) in 2023-24.

At current prices, the net state domestic product (NSDP) of Meghalaya reached Rs. 0.34 trillion (US$ 4.10 billion) in 2021-22.

At a CAGR of 46.92%, the tertiary sector was the fastest-growing sector among all sectors between 2011-12 and 2021-22. This was driven by trade, hotels, real estate, finance, insurance, transport, communications and other services. Primary sector, the second-largest contributor to Meghalaya’s economy, expanded at a CAGR of 6.23% between 2011-12 and 2021-22.

As of August 2022, Meghalaya had a total installed power generation capacity of 569.45 MW, comprising 354.53 MW from state utilities, 17.96 MW from private utilities and 196.96 MW by central utilities. Of the total installed power generation capacity, 409.27 MW was contributed by hydropower and 50.49 MW by renewable power.

In FY23 (until August 2022) passenger traffic at Barapani Airport reached 46,542 and aircraft movements at the airport stood at 1,234.

According to Department for Promotion of Industry and Internal Trade (DPIIT), FDI inflows in Meghalaya stood at US$ 1.09 million between October 2019-March 2023.

Meghalaya recorded US$ 8.26 million worth of exports in 2022-23. Total merchandise exports from Meghalaya stood at US$ 2.81 million in FY23 (until August 2022)

Natural resources, policy incentives and infrastructure in the state favour investment across tourism, hydroelectric power, manufacturing, and mining sectors. Minerals and mining, agriculture and horticulture and tourism have been identified as the thrust sectors for industrial development.

Some of the major initiatives taken by the Government to promote Meghalaya as an investment destination are:

• In June 2023, the Chief Minister of Meghalaya, Mr. Conrad Sangma, launched the Tourism Policy 2023, which aims to capitalize on the rich cultural heritage and natural beauty of Meghalaya while ensuring sustainability and responsible development.
• The total length of roads sanctioned under the main schemes of MDoNER, namely the North East Road Sector Development Scheme (NERSDS) and the North East Special Infrastructure Development Scheme (NESIDS), implemented either directly or through the North Eastern Council (NEC), in the state of Meghalaya over the last three years is 169.51 kilometres.
• On March 15th, 2023, Northeast Frontier Railway achieved another milestone of electrification by commissioning Dudhnai – Mendipathar (22.823 Track Kilometre) single line section and Abhayapuri – Pancharatna (34.59 Track Kilometre) double line section. Mendipathar is the only railway station in the northeastern state of Meghalaya which is in operation since 2014.
• As of March, 2023, 5 large Hydro Electric Projects and 3 small Hydro Power Projects installed in Meghalaya.
• According to the Telecom Regulatory Authority of India (TRAI), Meghalaya had 2.46 million wireless and 0.05 million wireline subscribers, as of December 2022. The number of internet subscribers in Meghalaya stood at 1.88 million, as of December 2022. Meghalaya had a total tele-density of 75.09%, as of December 2022.
• The Prime Minister, Mr. Narendra Modi laid the foundation stone, and inaugurated and dedicated to the nation multiple projects worth over US$ 298.74 million (Rs. 2,450 crore) in Shillong, Meghalaya.
• In January 2023, Meghalaya Mental Health and Social Care Policy was introduced that aims to promote mental health and social care through collaborative engagement with all concerned Agencies/Departments and communities.
• According to Chief Minister Mr. Conrad K Sangma, Meghalaya is home to nearly 14,000 schools and employs over 55,000 teachers, surpassing other small states in Northeast India.
• Ministry of Ministry of Development of North Eastern Region (DoNER) has sanctioned 41 projects worth US$ 10.99 billion (Rs.90.00 crore), under Hill Area Development Programme.
• Under the crop insurance scheme, Pradhan Mantri Fasal Bima Yojana (PMFBY), the government of Meghalaya is providing farmers with 100% premium support for both the Kharif and Rabi seasons in 2023-24. Meghalaya produces US$ 48.50 million (Rs. 400 crore) worth of jackfruit annually and this can be scaled up to US$ 121.25 million (Rs. 1,000 crore.
• In October 2022, the Meghalaya government has signed an agreement with North Eastern Electric Power Corporation Ltd for the development of two hydel projects in the state.
• In the State Budget 2022-23, the allocation for the Shillong Smart City project has been increased from Rs. 700 crore (US$ 85.11 million) to Rs. 1,000 crore (US$ 121.59 million)
• 145 projects worth Rs. 3,392.99 crore (US$ 412.08 million) have been sanctioned under North East Special Infrastructure Development Scheme (NESIDS) as of July 2022.
• As of May 2023, Meghalaya had a total installed power generation capacity of 577.55 MW, comprising 354.53 MW from state utilities, 17.95 MW from private utilities and 205.07 MW by central utilities. Of the total installed power generation capacity, 417.38 MW was contributed by hydropower and 50.48 MW by renewable power.
• In 2021, foreign tourist arrivals and domestic tourist visits in the state stood at 411and 154,409, respectively.
• In FY22 (as per first advance estimates) the state produced 376.02 thousand tonnes of fruits under an area of 37.05 thousand hectares. Similarly, 76.54 thousand tonnes of spices were produced in the state under an area of 15.72 thousand hectares.
• The Meghalaya State Investment Promotion Society (MSIP) and the Ministry of Commerce and Industry's Invest India signed a memorandum of understanding (MoU) in July 2021 to promote trade and investments in the state.
• In FY23, the Government is allocating Rs. 60 crore (US$ 7.75 million) for the 'Meghalaya Health Systems Strengthening Project.'
• In FY21, Meghalaya Farmers Mobilisation Project will be implemented at a cost of Rs. 5.12 billion (US$ 69.55 million) over a five-year period. Programmes will be launched for the establishment of cluster-based, farmer owned and farmer-operated markets.
• Under the State Budget 2022-23, an amount of Rs. 1,770 crore (US$ 230.9 million) is allocated for the roads sector, of which Rs. 519 crore (US$ 67.7 million) is for PMGSY, Rs. 220 crore (US$ 28.7 million) specifically for rural roads, and the balance will be for various State road projects.
• Under the Budget 2022-23, the government allocated Rs. 1,617 crore (US$ 210.9 million) to the health sector.
• Under the Budget 2021-22, the government allocated Rs. 980 crore (US$ 133.43 million) for the education sector.
• Under the Budget 2021-22, the government allocated Rs. 559 crore (US$ 76.11 million) for the agriculture and allied services sector.
• Under the Budget 2021-22, the state government sanctioned Rs. 100 crore (US$ 13.63 million) for development of the state’s tourism sector.
• Meghalaya ranked as the fourth best performer in the implementation of Swadesh Darshan scheme.
• The state also has tremendous potential for tourism. In 2019, foreign tourist arrivals and domestic tourist visits in the state stood at 0.03 million and 1.25 million, respectively.
• Limestone production in Meghalaya stood at ~6.9 million tonnes in FY20.

Note: * - As per 2019-20 (3rd Adv. Est.), MW - Megawatt