Chief Minister Mohan Yadav announces a strategic push to diversify Madhya Pradesh’s economy by integrating tourism, renewable energy, and expansive land infrastructure, aiming to fast-track industrial development and attract investment.
Madhya Pradesh is trying to widen its industrial base by pairing a push into tourism with deeper investment in power and land infrastructure, Chief Minister Mohan Yadav said in Indore on Saturday. Speaking at the launch of the city chapter of the Hindu Economic Forum, Yadav said the state already had two of the most important ingredients for industrial growth: surplus electricity and a sizeable land bank. He said the government was working to make it easier for businesses to set up operations while also creating more jobs.
Yadav said the administration was exploring new energy options, including solar generation over water bodies, alongside further development of hydropower. He also pointed to religious and medical tourism as sectors with room to grow, arguing that both could add to the state’s economic footprint. In remarks reported by IANS, he said Madhya Pradesh was translating industrial memorandums of understanding into on-the-ground projects and that the pace of development had quickened over the past decade.
The chief minister framed that progress in terms of income growth, saying per capita income had risen sharply from about Rs 11,000 in 2002-03 to Rs 1.40 lakh in 2022 and Rs 1.67 lakh in 2026. That figure broadly tracks the state’s own economic outlook: Business Standard reported in February that Madhya Pradesh’s economic survey projected gross state domestic product growth of 11.14% for 2025-26 and per capita income of Rs 169,050. The survey also said the fiscal deficit would remain at 4.6% of GSDP for the year.
The land strategy is also becoming more ambitious. The Times of India reported that the state’s MSME department is seeking to expand its industrial land bank beyond established urban centres, with a focus on sites near interstate borders and on large undeveloped parcels that can help projects move faster. Separate reporting by the same newspaper said the Indore division alone has around 20,000 acres in its industrial land bank, while Economic Times has reported that Yadav has promised business land within 29 days and said the state has removed more than 900 rules that had slowed investment. Together, those moves suggest a broader attempt to position Madhya Pradesh as a faster, cleaner and more predictable destination for capital.
The industrial pitch also fits with the state’s wider pitch on manufacturing and energy. IBEF says Madhya Pradesh is India’s only diamond-producing state and has seen strong growth in gross state domestic product over the past decade. At the same time, Energetica India reported that the cabinet recently approved an expansion of the Mohasa-Babai industrial area in Narmadapuram to support manufacturing of electrical and renewable energy equipment. Against that backdrop, Yadav’s comments in Indore were less a stand-alone announcement than part of a larger effort to link tourism, energy and manufacturing into a single growth story.
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