Posted 19 March, 2026
The Iowa Business Council (IBC) released its annual, nonpartisan review of the state’s economic competitiveness. Known as Iowa’s Competitive Dashboard, the report measures the state’s national rankings in five categories: economic growth; workforce & education; governance; health & wellness; and state demographics. For each category, Iowa is awarded a cumulative score that determines whether it is outperforming, competitive, or underperforming. The report can be measured consistently across all 50 states, providing an accurate depiction of how Iowa is competing nationally.
Among the key findings of the report, Iowa’s overall standing in the face of national and international uncertainty remains resilient. Under the Economic Growth category, Iowa’s Gross State Product (GSP) increased by more than 4%, to more than $265 billion, compared to last year’s report. Noting Iowa’s status as a top 3 state in manufacturing value as a percentage of its GSP, Iowa is well diversified across multiple industries which highlights the state’s continued industry strength.
Iowa’s economy is poised for even more growth with significant increases in competitiveness relative to its tax climate. Iowa’s ranking for Corporate Tax Climate have improved from 46th in 2010, to 25th in 2025. For the Individual Tax Climate, Iowa’s standing has improved from 41st to 11th in the same timeframe.
The report also calls out opportunities for growth and improvement. Specifically, metrics contained within the State Demographics category should be highlighted for Iowa policymakers. Iowa’s population has grown at a far slower rate than the rest of the country and the Midwest. The growth of Iowa’s population must be accelerated and retained in both urban and rural communities to ensure continued economic vitality for the state. Recruitment and retention efforts could be bolstered by changes in federal immigration policy, as well as highlighting the significant advantages Iowa provides its citizens over other states including safe communities, high quality K-12 educational systems, low cost of living, and affordable housing.
“Iowa’s ability to navigate complicated economic dynamics demonstrates continued resiliency. As we look to the future, the Iowa Business Council will continue to emphasize the need to grow our state’s population, retain our existing population, and work to expand economic opportunities across all 99 counties,” stated Gage Kent, chairman of the IBC and Chairman & CEO of KENT WORLDWIDE.
“The IBC will continue to support policy initiatives that increase jobs and opportunities for every Iowan while increasing our competitiveness across every Dashboard metric,” stated Joe Murphy, IBC president.
The dashboard, which has been released annually since 2011, serves as a tool for policymakers and business leaders to use when making sound economic decisions. IBC members encourage community leaders to join in implementing the report’s recommendations or use the data to develop their own action items. Over the course of the next several months, the IBC will present the report’s findings throughout the state.
View the full report here.