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Nagaland report highlights widening income disparity as top 5% households account for 21% of state income

#Economy#India#Nagaland
Last Updated : 12th May, 2026
Synopsis

A government-backed study on income disparity in Nagaland has revealed significant inequality in household earnings across the state, with the top 5 per cent of households accounting for nearly 21 per cent of total income while the bottom 50 per cent receive only around 18 per cent. The report, prepared under the Ministry of Statistics and Programme Implementation in collaboration with the University of Hyderabad, recorded a Gini coefficient of 0.46, indicating a high level of income concentration. The findings also showed that urban areas have marginally higher inequality than rural regions, while districts such as Longleng reported the sharpest income disparities across both urban and rural households.

Nagaland has recorded significant income inequality across households, according to a new government report which found that a large share of the state’s earnings remains concentrated among a small section of the population.


The ‘Report on Income Disparity in Nagaland’, released earlier this week by Chief Secretary Sentiyanger Imchen, revealed that the top 5 per cent of households in the state account for nearly 21 per cent of total gross income, while the bottom 50 per cent receive only around 18 per cent.

The study further highlighted stark differences in monthly household earnings. According to the report, households within the top 5 per cent income bracket earn an average monthly income of INR 71,028, whereas the bottom half of households earn only around INR 1,639 per month on average.

The report recorded Nagaland’s overall Gini coefficient at 0.46. The Gini coefficient is a widely used statistical measure of income inequality where a value of zero indicates perfect equality and a value of one represents absolute inequality. A coefficient of 0.46 reflects a relatively high concentration of income within the state.

The study was prepared under the Ministry of Statistics and Programme Implementation’s Support for Statistical Strengthening Sub-scheme in collaboration with the University of Hyderabad. Field surveys for the report were conducted between October and December 2024.

The survey covered a total of 4,396 households across Nagaland, including 1,315 households from 60 urban wards and 3,080 households spread across 140 villages, providing a broad representation of both urban and rural income patterns.

According to the findings, urban areas recorded slightly higher income inequality compared to rural regions. The Gini coefficient for urban households stood at 0.44, while rural areas recorded a coefficient of 0.42.

The report also highlighted substantial variations in income disparity across districts. Longleng emerged as the district with the highest income inequality, registering a Gini coefficient of 0.492, while Phek recorded the lowest disparity at 0.366.

In rural areas, Longleng again reported the highest inequality with a coefficient of 0.456. Zunheboto recorded the lowest rural income disparity at 0.330.

Urban inequality patterns reflected a similar trend. Longleng posted the highest urban income inequality with a Gini coefficient of 0.509, whereas Zunheboto reported the lowest urban disparity at 0.359.

The findings underline growing concerns around uneven income distribution and regional economic imbalances within northeastern states, particularly as governments focus on improving infrastructure, connectivity and investment-led development.

The report is expected to serve as a reference point for future policy interventions related to rural livelihoods, urban employment generation, social welfare distribution and inclusive economic planning across Nagaland.

Source - PTI

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