With a per capita income of Rs 23,968 in 2014-15, Assam is one of the poorer states in the country. Per capita income growth slowed down to 3.2 per cent over 2010-11 to 2014-15, after growing at roughly four per cent over 2005-06 to 2010-11. This occurred despite the state's gross domestic product accelerating over 2010-11 to 2014-15, compared to the earlier period.
The state's spending on social sector as a percentage of aggregate disbursements declined from 40.3 per cent in 2001-02 to 32.4 per cent in 2004-05. Thereafter it edged upwards, averaging around 38 per cent till 2013-14. In 2014-15, it was budgeted to go up sharply to 44 per cent.
Like other low income states, Assam relies heavily on transfers from the central government to fund its expenditure. Total transfers from centre account for roughly 70 per cent of the state's total revenue receipts, with the balance raised by the state.