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Bengaluru’s economic resilience remains notable due to its diversified business activities
Delhi-NCR excels in physical infrastructure. (Representative image)
In its latest India Prime City Index report, Knight Frank India analysed the performance of six leading Indian cities across diverse growth parameters. Among them, Bengaluru has demonstrated remarkable socio-economic growth, driven by its thriving service sector that attracts a highly skilled workforce from across India and beyond. The city boasts the highest workforce participation rate in the country at 76% and an unemployment rate of just 1.8%—the lowest among the six cities analysed.
Bengaluru: Resilience Amidst Challenges
Despite recent hurdles in the start-up ecosystem, Bengaluru’s economic resilience remains notable due to its diversified business activities. This is reflected in robust real estate sales over the past few years. The city continues to solidify its position as a prime destination for global investments and talent, showcasing its enduring appeal to businesses and professionals worldwide.
Hyderabad: A Growth Powerhouse
Hyderabad emerges as India’s fastest-growing city, driven by key factors:
- Robust infrastructure development bolstering connectivity and urban mobility.
- Surging real estate demand, with significant growth in residential prices and launches.
- A rising population of UHNWIs and HNWIs, fostering economic vitality.
- Proactive policy initiatives enhancing its socio-economic profile.
Bengaluru ranks second in growth, supported by its exceptional talent pool and vibrant start-up ecosystem, which continue to fuel entrepreneurship. Meanwhile, Mumbai-MMR displays steady growth across metrics, reinforcing its status as India’s financial hub, while Delhi-NCR excels in governance and infrastructure.
Expert Insight: India’s Urban Powerhouses
Gulam Zia, Senior Executive Director at Knight Frank India, highlights:
“India’s emergence as a global economic powerhouse is driven by select cities that have become economic and cultural hubs. These cities present distinct opportunities for sustainable and inclusive urban development.”
Real Estate: Hyderabad Leads the Way
Hyderabad’s real estate growth outpaces other cities, leading in this metric with:
- A 10% CAGR in residential launches over the past decade.
- An 11% rise in residential prices in 2023, reflecting investor and end-user confidence.
- Massive investments in transport infrastructure, further boost real estate development.
Bengaluru follows closely, maintaining its position as the top choice for commercial occupiers while achieving sustained growth in residential real estate.
Physical Infrastructure: Delhi-NCR Shines
Delhi-NCR excels in physical infrastructure with:
- The Delhi Metro, is India’s largest, with 6.8 million daily riders and over 350 km of coverage.
- Infrastructure upgrades like the Eastern Peripheral Expressway, ensure seamless connectivity.
- The highest availability of green and open spaces among Indian cities.
- A well-developed healthcare ecosystem contributes to higher life expectancy.
Governance: Delhi-NCR Sets the Benchmark
Delhi-NCR showcases strong governance capabilities, including:
- E-governance initiatives like the Delhi Government Services Portal streamline public service delivery.
- Leadership in information security and privacy, alongside Hyderabad and Ahmedabad, reflects a commitment to digital advancements.
These initiatives reinforce Delhi-NCR’s reputation as a model for governance and urban management.
