Gujarat is a state that can largely be attributed to the economic growth and high standards of industrialization. However, many cities in the emerging tier in Gujarat are re-defining the urban paradigm of the country. It is no wonder that among them, Surat is said to be the fastest growing city in Gujarat, which is the magnet for the investors, entrepreneurs and job seekers.
The Rise of Surat: Gujarat’s Urban Powerhouse
Diamond City’ – is the obvious choice of the investors oriented towards Indian urban development. It is situated in the state of Gujarat in India, which has got the title of fastest growing city in Gujarat with no hesitation as it has surpassed all other urban agglomerates in economic and infrastructural development.
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Surat’s Impressive Growth Trajectory
The statistics reinforcing the astounding growth narrative of Surat are awe-inspiring:
- Oxford Economics has claimed that between 2019-2035, Surat will be the most economically growing city in the world with an average GDP growth rate of 9.2%.
- The population of the city grew from 2.89 million in 2001 to over 6 million by 2021, making it the 2nd largest city in Gujarat.
- In terms of the population growth rate, Surat is ranked the 4th fastest growing city in the world.
Factors Driving Surat’s Rapid Growth
Several factors contribute to Surat’s position as the fastest growing city in Gujarat:
1. Thriving Diamond and Textile Industries
More than 90% of total rough diamond cutting and polishing is carried out in Surat. Hence it has become the most favorable city in Gujarat for investments for diamond and textile related businesses.
2. Strategic Location
Surat, located on the Tapi River, is strategically located within close range to Mumbai (the financial capital of the country) and other major cities due to excellent transport accessibility. This geographical factor is very important in ensuring that Surat is the fastest growing city in Gujarat since many businesses and investments are drawn here.
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3. Infrastructure Development
The municipality has attracted a substantial amount of capital, particularly towards the upgrading of urban infrastructure such as roads, public transport systems as well as smart city projects. This development of infrastructure also adds more reasons as to why investors would like to invest in the city of Surat.
4. Entrepreneurial Spirit
Surat’s tourism plays a vital role in the generation of revenue for the city, thereby providing a catalyst for investments in many other sectors. The reasons behind these dynamics relate to the rapid economic growth of the region that has facilitated the recognition of this geoculture as a city in Gujarat that is rising up.
Emerging Cities in Gujarat: Beyond Surat
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Surat, like a gunshot, quickly takes the lead as the fastest growing city in Gujarat, excuses other cities for they are growing up too, but at a slower rate:
Ahmedabad: Gujarat’s Economic Powerhouse
With more than 7 million people, Ahmedabad is the largest city in the state of Gujarat. It still remains the strongest economic center and one of the cities offering best cities to invest in Gujarat. The major points include:
- It is located in the world’s first operational smart city namely GIFT City, which is the International Financial Services Centres (IFSC) in India.
- More enhanced metro transport amenities, along with the riverfront development project, which have been completed in most parts of the city and thereby boosting them amongst the other emerging cities in Gujarat
Vadodara: The Cultural Capital
Vadodara or Baroda City is on its way to establishing itself as a prominent industrial and cultural center.
- Many large scale industries are also located in this city and it is also developing as an IT city.
- The residential sector and the commercial sector real estate market in Vadodara, are both quite favorable for investments, providing such conditions, which are making the city one of the emerging cities in Gujarat.
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Rajkot: The Industrial Hub
There is an industrial revolution taking place in Rajkot and it is also set to be one of the central industrial cities of Gujarat in a very short time frame.
- This city has been ranked as the seventh fastest growing city in the world, and the tenth cleanest city across India.
- Rajkot boasts production in the sectors of automobiles, CNC automation, diesel engines, and imitation jewelry, bolstering its appeal with regards to the emerging cities in Gujarat.
Investment Opportunities in Gujarat’s Emerging Cities
For investors looking to capitalize on Gujarat’s urban growth story, several opportunities exist across the state’s fastest growing and emerging cities in Gujarat:
Real Estate Investment
Such Indian states have prospects especially real estate in the developing towns in the given state:
- New real estate developments are taking place in various localities of Surat such as Vesu, Adajan, and Dumas Road.
- Ahmedabad has GIFT City where one can find commercial and residential real estate development activities almost to their extremes.
Industrial and Commercial Investments
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The region has witnessed phenomenal infrastructural growth thus the great interest in commercial and industrial investments:
- That is why Surat s SEZs and industrial parks are very appealing to the investors.
- The diamond and jewellery industry is ripe for development opportunities within the scope of the City of DREAM project which is located in close proximity to the city of Surat.
Technology and Start-up Ecosystem
Emerging cities in Gujarat are providing their people with the much needed technology and start-up industries:
- Outside of this, Ahmedabad and Gandhinagar are emerging as specific locations for IT related businesses with GIFT City luring in many fintech firms.
- There is also an IT hub in Rajkot which comprises Rajkot IT Association with more than 100 members.
Challenges and Future Outlook
Investors can easily access Gujarat’s prospective growth from a commercial angle due to several emerging cities. Surat being the country’s progression city and many others include: Modernization faces serious obstacles as well:
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There is an inevitable overload of the facilities resulting from the intensity of the urbanization process.
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It is of utmost importance to promote development while ensuring the environment is protected and not harmed.
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To enhance the urban propagation processes and their impacts, skills have to be developed and jobs created in equal measure.
Notwithstanding these constraints, the outlook of the emerging cities in Gujarat’s economy is encouraging. Growth in Gujarat will be led by Surat, Ahmedabad, Vadodara, and Rajkot. The cities grow from the urbanization fueled by infrastructure expansion and smart city projects. For the coming decades, these cities will boost the economic progress of the state. Surat is known as the diamond capital, and its streets are studded with diamonds, attracting businesses and investments. GIFT City, located in Ahmedabad, is quickly emerging as a financial capital in Gujarat.
The industrial base at Rajkot makes this city a prominent economic center in Gujarat. Major drivers of urbanization in Gujarat cities are now. These cities are homes to businesses as well as cities. Surat, Ahmedabad, Vadodara, and Rajkot have transformed in growth engines. Cities in Gujarat will offer tremendous opportunity for investment along with entrepreneurship.
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Conclusion
The urbanization and industrialization in Gujarat is having a rapid pace in Surat, making it the fastest growing city. Other cities like Ahmedabad, Vadodara and Rajkot also give an indication of the growth. Thus, these cities have provided ample opportunities for the growing economy of Gujarat. Gujarat is a great state for investment in various fields. The local economy of Gujarat will grow with the growth of infrastructure. With this investment potential, there is a very promising economic outlook for Gujarat.