STATE ECONOMIC PROFILE
Connecticut Economic Overview
$291.1b
GROSS STATE PRODUCT
Growth Rate 2020-25
State Growth Rank
2.4%
30
3,635,713
POPULATION
Growth Rate 2020-25
State Growth Rank
0.3%
25
360,946
BUSINESSES
Growth Rate 2020-25
State Growth Rank
1.8%
48
Overview of the Connecticut Economy
In 2025, the state of Connecticut has a population of 3,635,713, having grown an annualized 0.3% over the five years to 2025, which ranks it 25th out of all 50 US states by growth rate. Connecticut's gross state product (GSP) in 2025 reached $291.1b, with growth of 2.4% over the 5 years to 2025. Businesses in Connecticut employed a total of 1,987,347 people in 2025, with average annual employment growth over the past five years of 1.9%. The top three sectors by total employment are Real Estate and Rental and Leasing, Manufacturing, Finance and Insurance, while the unemployment rate across the state in 2025 was 5.0%.
What is Connecticut's Gross Domestic Product (GDP)?
In 2025, Connecticut's GDP reached $291.1b, representing an increase of 2.4% from 2024. Connecticut's GDP has grown at an annualized rate of 1.6% over the five years to 2025. Moreover, Connecticut's trailing five-year GDP growth ranks it 30th out of all 50 US states.
State GDP, or Gross State Product, is a measurement of a state's output, or the sum of value added from all industries in the state. It is a common indicator used to track the health of a state's economy.
You can track trends in Connecticut's GDP, and compare them to the national average, using the chart below.
STATE ECONOMIC PROFILE
Connecticut Industry Trends
What are Connecticut's Largest Industries by Revenue?
The largest industries by revenue in Connecticut are Life Insurance & Annuities, Gasoline & Petroleum Bulk Stations and Health & Medical Insurance, which generated $71.9b, $56.7b and $29.6b in 2025.
STATE ECONOMIC PROFILE
Top Companies in Connecticut
Top 10 Companies Headquartered in Connecticut by Employment
The largest companies by employment in Connecticut are Hartford HealthCare, Raytheon and Amazon.Com, which employed 37,000, 17,000 and 15,000 people in 2025.
STATE ECONOMIC PROFILE
Connecticut Sector Statistics
In Connecticut, certain sectors drive a higher share of state GDP and employ more workers than others. However, simply looking at raw numbers doesn't always tell the whole story. Factoring in the current year growth percentage, in addition to the annualized growth percentage over the past five years, will give you a deeper understanding of the economic situation.
What is Connecticut's GDP by Sector?
The Real Estate and Rental and Leasing, Manufacturing and Finance and Insurance sectors contributed the most to Connecticut's GDP in 2025, representing a combined 40.7% of state GDP.
GDP trends by sector are an important indicator of which sectors are contributing the most value-add to the state's economy, in addition to how the state economy is evolving over time.
What is Connecticut's Employment by Sector?
The Healthcare and Social Assistance, Retail Trade and Educational Services sectors contributed the most to employment in Connecticut in 2025, representing a combined 40.0% of state employment.
Employment trends by sector are an important indicator of which sectors are growing or contracting most rapidly relative to the state economy as a whole.
STATE ECONOMIC PROFILE
Connecticut Employment Trends
2.0m
EMPLOYMENT
Growth Rate 2020-25
State Growth Rank
0.6%
3
5.0%
UNEMPLOYMENT
Growth Rate 2020-25
State Growth Rank
-9.1%
40
What Employment Trends are Impacting Connecticut?
The state of Connecticut employs 1,987,347 people in 2025, which ranks it 29th out of all 50 US states. Employment in Connecticut has grown at an annualized rate of 0.6% over the five years to 2025, underperforming the national average of 1.8%. Major sectors by employment in Connecticut include Healthcare and Social Assistance, Retail Trade and Educational Services, which employed 339,529, 231,324 and 223,225 people in 2025, respectively. Connecticut's unemployment rate is 5.0% in 2025, which ranks it 41st out of 50 states. Connecticut's unemployment rate has trended downwards at a rate of -9.1% over the five years to 2025, overperforming the US economy as a whole. Employment trends indicate the degree of tightness or slack in labor markets, in addition to the overall strength of an economy. Faster employment growth typically indicates a strong and growing economy, while lower unemployment tends to imply tightness in labor markets.
You can track unemployment trends in Connecticut, and compare them to the US economy, using the chart below.
$138.9k
PER CAPITA DISPOSABLE INCOME
Growth Rate 2020-25
State Growth Rank
3.7
45
What is Connecticut's Per Capita Disposable Income?
Per capita disposable income, also known as disposable personal income (DPI), is the amount of money that the average person in an economy has available for spending and saving after accounting for income taxes. Connecticut's DPI in 2025 was $138.9k, compared to the US average of $138.3k, which places it 45th out of all 50 US states.
Disposable income is regarded as a key economic indicator as trends in disposable income are indicative of the level of aggregate demand, the state of labor markets and the financial strength of households.
You can track trends in Connecticut's per capita disposable income, and compare it to the US average, using the chart below.
STATE ECONOMIC PROFILE
Connecticut Construction & Building Trends
$2,480.5tn
NONRESIDENTIAL CONSTRUCTION
Growth Rate 2020-25
State Growth Rank
-2.7%
5
$1.3tn
RESIDENTIAL CONSTRUCTION
Growth Rate 2020-25
State Growth Rank
-0.0%
7
4,280
BUILDING PERMITS
Growth Rate 2020-25
State Growth Rank
-6.6%
5
What can construction trends tell you about a state’s economy?
In Connecticut, non-residential construction was $2,480.5tn in 2025, which ranks it 5th out of all US states. Residential construction was $1.3tn in 2025, which places Connecticut 7th in the United States. The number of building permits issued in Connecticut in 2025 was 4,280, representing a -6.6% annualized growth rate between 2020 and 2025.
Trends in the construction sector are important because it creates jobs, income and tax revenue for a state. In addition, construction sector activity impacts other sectors in its supply chain, including manufacturing, wholesaling, warehousing, transportation, and real estate, rental and leasing services. Therefore, construction trends are important indicators of the health of an economy.
You can track trends in the number of building permits issued in Connecticut, and compare it to trends in the number issued in the United States as a whole, using the chart below.
STATE ECONOMIC PROFILE
Connecticut Population Statistics
Which Counties in Connecticut have the Largest Populations?
The counties with the highest populations in Connecticut are Fairfield County, Hartford County and New Haven County, which had populations of 968,297, 899,557 and 873,694 people in 2025.
STATE ECONOMIC PROFILE
Connecticut Demographics
Education Level Connecticut
Race in Connecticut
Connecticut State Industry Reports
IBISWorld State Industry Reports help you quickly understand how an industry performs at the state level compared with the national level by providing accurate and unbiased industry information with a local focus. Use this collection to:
- Discover key local industry trends
- Identify threats and opportunities at the subnational level
- Inform your business strategies and planning
See our list of 645 Connecticut Industry Reports.
