Harrisburg, PA – Under Governor Josh Shapiro’s leadership, Pennsylvania is the only state in the Northeast with a growing economy, according to a new report from Axios on analysis done by Moody’s Analytics Chief Economist Mark Zandi. The analysis — which examined state-level jobs data, industrial production, personal income, and housing starts — found Pennsylvania is one of just 16 states nationwide where the economy continues to expand despite national headwinds.
This latest recognition builds on growing evidence that Pennsylvania’s economy is strong, competitive, and on the rise. Just last week, Area Development ranked Pennsylvania among the top 20 “Best States for Business” — the only Northeastern state to make the list — and placed the Commonwealth in the top 10 for “Site Readiness Programs.”
Since taking office, Governor Shapiro has made Pennsylvania more competitive — launching the Commonwealth’s first economic development strategy in nearly two decades — and by cutting red tape, streamlining permitting and licensing, and making strategic investments that have attracted over $25.6 billion in private-sector investment, created more than 12,500 good-paying jobs, and expanded opportunity across the Commonwealth. This includes the largest private-sector investment in Commonwealth history: Amazon’s initial $20 billion investment to build new AI and cloud computing campuses that will create thousands of high-tech and construction jobs.
From day one, Governor Shapiro has prioritized making Pennsylvania more competitive — launching the Commonwealth’s first economic development strategy in nearly two decades and securing $500 million for site development, Main Streets, workforce training, innovation, and small business growth.
Governor Shapiro has also cut taxes, modernized government, and expanded funding to prepare more sites for business expansion — helping Pennsylvania earn the title of #1 State in the Northeast for Regional Economic Competitiveness from Site Selection Magazine.
Cutting Red Tape and Moving at the Speed of Business
Under Governor Shapiro’s leadership, Pennsylvania is reforming government and delivering faster, more predictable permitting and licensing processes that give businesses the certainty they need to invest and grow:
- Launched the Office of Transformation and Opportunity (OTO) to coordinate permitting and business support, assisting over 200 companies in 2024.
- Created the PA Permit Fast Track Program, the first in the nation for multi-agency coordination to expedite major projects — now supporting seven public-facing projects.
- Introduced PAyback, a money-back guarantee for timely permit and license processing — with over 40 million applications processed and only five refunds issued to date.
Companies like Excelitas Technologies, which moved its headquarters from Massachusetts to Pittsburgh, and Adare Pharma, which relocated to Northeast Philadelphia, are choosing Pennsylvania as their home for growth.
Across the Commonwealth, manufacturers like B. Braun in the Lehigh Valley and Joseph Machine Company in York County are expanding their facilities, creating hundreds of new jobs, and strengthening Pennsylvania’s industrial backbone.
Investing in Infrastructure, Innovation, and the Workforce
Through Governor Shapiro’s 2024–25 bipartisan budget, the Commonwealth is investing $500 million in site development, including $400 million for the PA SITES (Pennsylvania Strategic Investments to Enhance Sites) Program to make more locations shovel-ready for business investment. To date, 29 projects have been awarded $113.6 million, helping communities across Pennsylvania compete for new job-creating opportunities.
These investments are revitalizing downtowns, strengthening main streets, and fueling local economies — from $60 million in state capital supporting $600 million in private investment in Downtown Pittsburgh to targeted funding for small businesses through the Main Streets Matter program.
Delivering Results for Pennsylvanians
Governor Shapiro’s leadership is delivering results: faster government, stronger communities, and an economy built for the future. The Shapiro Administration continues to move quickly and efficiently to process permit applications, get businesses answers, and land major deals that benefit the people of Pennsylvania.
Learn more about the Shapiro Administration’s efforts to support Pennsylvania’s workers and businesses and spur the economy in the Governor’s 2025-26 budget proposal at shapirobudget.pa.gov and discover how the Administration is creating economic opportunity to build a stronger, more competitive economy for all Pennsylvanians.
# # #