Class-Y Cities Drive Momentum; Bengaluru Reclaims Top Rank, Prayagraj Leads Among Emerging Cities
Mumbai, 19 August 2025: Dun & Bradstreet, a global leader in business decisioning data and analytics, has released the City Vitality Index – Q3 2025, revealing India’s shifting economic contours through real-time, satellite-based urban intelligence. Leveraging Earth Observation (EO) data, the Index captures economic activity across 700+ Indian districts — offering a ground-breaking, micro-level view of the country’s evolving urban vitality.
“The Q3 CVI signals a decisive shift in India’s growth trajectory,” said Dr. Arun Singh, Global Chief Economist, Dun & Bradstreet. “While metros remain strong, it’s the Class-Y cities (Tier-2 & Tier-3) that are reshaping the development map. From infrastructure to tourism-led growth, we’re seeing a clear decentralization of economic activity. Prayagraj’s continued top ranking — bolstered by the 2025 Kumbh Mela — and the rise of cities like Chandel and Karimganj show how both legacy and frontier factors are driving momentum.”
With India’s GDP growing 7.4% in Q4 FY25, led by construction and consumption, the CVI reflects how this growth is manifesting across the urban spectrum — highlighting both expected and overlooked drivers of economic dynamism.
Highlights of the City Vitality Index – Q3 2025:
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Bengaluru reclaimed the first position among metros, overtaking Ahmedabad, which dropped to second and Pune slipped to third. Chennai, Kolkata, and Delhi held steady, reflecting consistent urban performance.
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Prayagraj maintained its lead among emerging cities for a second consecutive quarter, supported by infrastructure upgrades and cultural tourism. Thane and Varanasi also remained in the top five, while Paschim Bardhhaman and Haora made strong upward moves into the top 10 cities.
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Uttar Pradesh stood out with 19 cities in the top 100 — more than any other state — highlighting the state’s focus on regional development, connectivity, and investment.
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Chandel (Manipur) recorded the highest jump in ranking, climbing 296 places in a single quarter. Other major risers include Tengnoupal (Manipur), Karimganj (Assam), and Sitamarhi (Bihar) — indicating expanding economic footprints in the Northeast and East.
City Vitality Index – A Pulse on India's Urban Economy
“CVI combines satellite-based insights with economic fundamentals, enabling sharper analysis of growth pockets and resilience,” Dr. Singh added. “It’s correlation of over 83% with nominal GDP — and nearly 99% in highly urbanized districts — makes it a powerful, high-frequency indicator for policymakers, businesses, and investors alike.” As India’s growth engines diversify, the City Vitality Index continues to offer a high-resolution lens into the urban economy — spotlighting both legacy metros and new disruptors that are quietly powering the nation’s next wave of development.
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