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Theeconomy ofIndianapolis is centered on the City of Indianapolis andMarion County within the context of the largerIndianapolis metropolitan area. The Indianapolis–Carmel–Anderson, IN MSA, had agross domestic product (GDP) of $134 billion in 2015. The top five industries were: finance, insurance, real estate, rental, and leasing ($30.7B), manufacturing ($30.1B), professional and business services ($14.3B), educational services, health care, and social assistance ($10.8B), and wholesale trade ($8.1B). Government, if it had been a private industry, would have ranked fifth, generating $10.2 billion.[1]
Compared to Indiana as a whole, the Indianapolis metropolitan area has a lower proportion of manufacturing jobs and a higher concentration of jobs in wholesale trade; administrative, support, and waste management; professional, scientific, and technical services; and transportation and warehousing.[3] The city's major exports includepharmaceuticals, motor vehicle parts, medical equipment and supplies, engine and power equipment, and aircraft products and parts.[4] According to theBureau of Labor Statistics, the region's unemployment rate was 2.8 percent in May 2019.[5]
In 2021, the Indianapolis metropolitan area was home to threeFortune 500 companies and sixFortune 1000 companies.[6] The largestpublic companies based in the area were insurance companyElevance Health, pharmaceutical companyEli Lilly, agrochemical companyCorteva, real estate investment trustSimon Property Group, pharmaceutical (animal health) companyElanco, financial services companyCNO Financial Group, specialty chemicals companyCalumet, Inc., automotive components manufacturerAllison Transmission, and automotive remarketing company OpenLane.[7]Private companies based in the area include financial services companyOneAmerica Financial, agricultural cooperativeCountryMark, and regional airlineRepublic Airways Holdings.[8]
In 1991,United Airlines selectedIndianapolis International Airport for a $1 billion (equivalent to $2.18 billion in 2024) maintenance operations center after a competitive bidding process involving more than 90 cities.[9] State and local officials agreed to subsidize United's costs by providing nearly $300 million (equivalent to $653.01 million in 2024) intax credits and other incentives in exchange for thousands of high-wage jobs by 2004.[10] Following United's filing forChapter 11 bankruptcy protection in 2002, the 1.7 million square foot (160,000 m2) Indianapolis Maintenance Center closed in 2003.[11] According to theIndianapolis Business Journal, "records are hard to come by, but during United's glory days, it is believed to have employed as many as 3,000 people at IMC [Indianapolis Maintenance Center]"—short of the 6,300 jobs United committed to in 1991.[12]
Indianapolis submitted a bid to lureAmazon'sHQ2 in 2017.[13] In 2018, the company shortlisted Indianapolis as one of 20 finalists from a pool of 238 bids.[14]
Indianapolis's central location relative to other major North American markets, plus its extensive air, rail, and highway infrastructure, have positioned the region as an important center for thetransportation and logistics industry. In 2022, theIndianapolis metropolitan area was home to some 5,280 logistics companies that employed about 126,000.[15] Park 100 inPike Township on the city's northwest side is the largest industrial park in the region, encompassing an area of 1,800 acres (730 hectares) and gross leasable area exceeding 20,000,000 square feet (1,900,000 m2).[16]
Amazon has a major presence in the Indianapolis area, employing 9,000[17] across eight fulfillment centers: two in Indianapolis (IND4 and IND8); two inPlainfield (IND2 and IND5); two inWhitestown (IND1 and XUSE); and one each inGreenfield (MQJ1) andGreenwood (IND9).FedEx employs 7,000[18] workers across 35 facilities in the city.[19] The city is home toFedEx Express's National Hub which employs 5,800 workers in sorting, distribution, and shipping atIndianapolis International Airport.[19] The airport ranks among theten busiest U.S. airports in terms of air cargo throughput.[20]
Other major employers in the region includeDHL Group,Dollar General,Express Scripts,Finish Line,FullBeauty Brands,Ingram Micro,J. B. Hunt,Kroger,Pearson plc,Republic Airways Holdings,Total Quality Logistics,United Airlines,UPS,Walmart,Wheaton World Wide Moving, andXPO, Inc.[15][18][21]Cummins, based inColumbus, Indiana, expanded its footprint to the city in 2017 when the company opened its Global Distribution Business unit in downtown Indianapolis.[22][23]
Indianapolis's importance as a national rail center has diminished since the middle of the twentieth century;[24] however, the city remains a regional hub forCSX Transportation, home to its division headquarters and aclassification yard in the suburb ofAvon.[25]Amtrak's primary heavy maintenance and overhaul facility is housed in theBeech Grove Shops, located in the enclave ofBeech Grove.[26] Indianapolis is also home to Amtrak's largest material and supply terminal.[27] Located south of downtown Indianapolis, the Senate Avenue Terminal is anintermodal freight transport facility that is owned by theIndiana Rail Road and operated byCN.[28]
Since 1981, theIndianapolis Airport Authority has overseen the Greater Indianapolis Foreign Trade Zone, Inc. (FTZ 72) (d/b/a INzone), a federalForeign-Trade Zone encompassing 41 counties in central Indiana.[29] In 2018, theWorld Trade Centers Association approved the city's request to establish a local World Trade Center organization.[30]
In 2020, Indianapolis's finance sector employed about 70,800 workers,[31] primarily in banking and insurance.Elevance Health, one of threeFortune 500 companies headquartered in the city, employs more than 2,600 at the L. Ben Lytle Center. It is the largest for-profitmanaged care company in theBlue Cross Blue Shield Association, providing healthcare coverage to more than 42 million policyholders. Elevance is also the largestpublicly traded company based in Indiana, with revenue of $122 billion in 2020.[32][33]
OneAmerica Financial employs roughly 2,500 at its downtown Indianapolis headquarters inOneAmerica Tower.[34] OneAmerica, founded in the city as American United Life (AUL) in 1877, is the second-largestprivately held company in Indiana, with revenue of $2.7 billion in 2020.[35][36]
Carmel-basedCNO Financial Group provides life insurance, annuity, and supplemental health insurance products to more than 4 million U.S. customers. Its headquarters employs 1,200.[32]
From the mid-1950s through the late 1980s,American Fletcher National Bank (AFNB),Indiana National Bank (later known as INB Financial Corporation), andMerchants National Corporation were among the three largest banks in the city. Beginning the 1980s, a series of acquisitions claimed the three Indianapolis-based companies. American Fletcher was acquired byBank One Corporation in 1987 (succeeded in 2004 byJPMorgan Chase); INB Financial Corporation was acquired by theNational Bank of Detroit in 1992 (also succeeded by JPMorgan Chase in 2004); and Merchants National Corporation was acquired byNational City Corporation in 1992 (succeeded byPNC Financial Services in 2008).[37][38][39]
JPMorgan Chase maintains a large local presence, with about 1,400 employees and localFDIC deposits totaling $14.4 billion, dwarfing all other financial institutions in central Indiana. Other notable banks serving the city's finance sector includeFifth Third Bank,Huntington Bancshares,Bank of America,First Merchants Corporation,BMO Bank,KeyBank,Old National Bank,Regions Financial Corporation,First Internet Bank, andFirst Financial Bank.[40]
Indianapolis is home to one of 11Federal Home Loan Banks.
Indianapolis anchors one of the largest life sciences clusters in the U.S., notably in the subsectors of drugs and pharmaceuticals and agricultural feedstock and chemicals.[41][42] Life sciences employ between 21,200 and 28,700[43] among nearly 350 companies located in the region.[44] Indianapolis is also a hub for academic medicine and health sciences research, home to such institutions as theIndiana University School of Medicine,School of Nursing, andSchool of Dentistry;Indiana University Health;[43] Marian University'sTom and Julie Wood College of Osteopathic Medicine andLeighton School of Nursing; and theAmerican College of Sports Medicine.
According to a 2021 report commissioned by BioCrossroads, Central Indiana's life sciences and healthcare sector generates nearly $84 billion in total economic output and supports more than 331,000 jobs throughout the region.[43]
In 2020, the Indianapolis–Carmel–Anderson metropolitan statistical area (MSA) ranked eighth among large MSAs in the U.S. for employment concentration in the agricultural feedstock and chemicals sector.[41][45] According to the Indy Chamber,agribusiness employs more than 16,000 throughout the region.[46]Corteva, one of threeFortune 500 companies headquartered in Indianapolis, is the region's largest employer in this sector, with about 1,500 jobs at the company's Indianapolis Global Business Center.[47]
In 2020, the Indianapolis–Carmel–Anderson metropolitan statistical area (MSA) had the sixth-highest employment concentration in the drugs and pharmaceuticals sector, rising to second among large MSAs (after theDurham–Chapel Hill MSA).[41]
Indianapolis' life sciences sector is dominated byEli Lilly and Company, founded byEli Lilly in 1876. In 2019, the multinational pharmaceutical company was among the largest public companies in the world with revenue topping $22 billion and a global workforce of more than 33,000.[48] Eli Lilly is one of threeFortune 500 companies headquartered in Indianapolis and is the city's largest non-governmental employer with a workforce totaling nearly 11,000 in research and development, manufacturing, and executive administration.[49] The company is deeply rooted in the city's civic and philanthropic fabric. Established in 1937 byJosiah K. Lilly Sr. and his two sons,Eli andJoe, theLilly Endowment has grown into one of theworld's wealthiest charitable foundations, with assets totaling more than $15 billion.[50]
Elanco, a pharmaceutical company that produces medicines and vaccines for pets and livestock, announced plans in 2020 to invest $300 million in establishing its global headquarters in downtown Indianapolis.[51] The company spun-off from Eli Lilly in 2019.[52] Other notable companies in the region includeNovo Nordisk's Research Center Indianapolis, Inc. (NNRCII), established in 2015,[53] andNovartis.[54]
Beckman Coulter's Life Sciences division is headquartered in Indianapolis and employs more than 500 in the development and production of precision instruments.[55] In 2015, Cook Regentec (a subsidiary ofBloomington, Indiana-basedCook Group) was founded in the city to develop tools and technology forregenerative medicine,immunotherapy, and3D bioprinting.[56] In 2020, Cook Group's Cook Medical division announced plans to locate a plant in Indianapolis to manufacture medical devices.[57]
Roche Diagnostics Corporation is among the largest employers in Indianapolis, with a workforce of 4,500 at its North American headquarters on the city's northeast side.[58][59] Other notable employers in the sector includeInotiv, acontract research organization based inLafayette, Indiana, andFortrea.[60]
In 2020, theNational Institutes of Health (NIH) awarded grants totaling $213 million to theIndiana University School of Medicine to further research, notably in the fields ofAlzheimer's disease andpediatrics. Combining grants across several disciplines, the school ranked fifth in the country in funding from theNational Institute on Aging. The school ranks 14th among public medical schools, and 29th overall in total NIH funds awarded nationally.[61][43]
Formed in 2013, theIndiana Biosciences Research Institute (IBRI) is a nonprofit research and technology organization based in Indianapolis that serves as a conduit between the state's research universities and life science industries.[62] The IBRI is the first industry-led collaborative life sciences research institute in the U.S., focusing ondiabetes,metabolic disease, and poor nutrition.[63][64]
In 2021, nearly 130,000 Central Indiana residents were employed in healthcare.[43] Indianapolis is home toIndiana University Health, the state's largest healthcare system, with a workforce of 36,000 across 16 hospitals.[65] Community Health Network is another nonprofit hospital system based in the city, employing 16,000 between nine hospitals and 15 urgent care clinics throughout the region.[66][67] Eskenazi Health is the city's public healthcare system, employing more than 4,500 atSidney & Lois Eskenazi Hospital and 30 outpatient service sites, receiving nearly 1 million outpatient visits annually.[68]
St. Louis-basedAscension, among the largest nonprofit private healthcare systems in the U.S., employs about 7,100 in Central Indiana, with nearly 2,000 staffed beds and 4 million outpatient visits.[69]Mishawaka, Indiana-basedFranciscan Health, another nonprofit private healthcare system, has a regional workforce of 5,300 and 600 staffed beds.[69]
Two national retailers are based in Indianapolis. Founded in 1976,Finish Line, Inc. operates more than 500 athletic apparel stores throughout the U.S. The company was acquired as a subsidiary ofUnited Kingdom-basedJD Sports in 2018.[70] Founded in 1995,Lids specializes in athletic headwear with more than 1,100 stores throughout the U.S. and Canada.[71]
Four majordepartment stores were based in Indianapolis, includingH. P. Wasson and Company (1874–1980),L. S. Ayres (1872–2006),L. Strauss & Co. (1853–1993), andWilliam H. Block Co. (1874–1987). Indianapolis serves as headquarters for two of the largest commercialreal estate investment trusts in the U.S.,Simon Property Group and Kite Realty Group. Simon's portfolio of more than 200 commercial shopping mall properties in North America and Asia comprises a gross leasable area of some 241,000,000 square feet (22,400,000 m2). Duke Realty manages a portfolio of 550 logistics facilities, primarily used for distribution ore-commerce.
Castleton Square is asuper-regional mall located on the city's northeast side. Castleton opened in 1972 as the largest enclosed shopping mall in Indiana, boasting 1,381,533 sq ft (128,348.6 m2) ofgross leasable area, 130 stores, including fiveanchor tenants.[72] The nearbyFashion Mall at Keystone opened on the city's north side in 1973 and has since become the region's upscale shopping destination, boasting 120 specialty stores and restaurants covering 710,587 sq ft (66,015.7 m2) of gross leasable area.[73]
Glendale Town Center, also on the city's north side, opened in 1958 as the region's first suburban shopping mall. The center was designed by famed shopping mall architectVictor Gruen.[74] After years of diminishing revenue and competition from nearby Castleton and The Fashion Mall, Glendale was largely remodeled into an open-airpower center in the mid-2000s,[75][76] covering 393,002 square feet (36,511.1 m2) of gross leasable area.
Washington Square, located on the city's far east side, is a super-regional mall opened in 1974. Similar to Lafayette Square, Washington Square has experienced the loss of several national anchor tenants and declining performance in recent years.[77][78] The mall covers 965,000 sq ft (89,700 m2) of gross leasable area and a single occupied anchor tenant.
Other major shopping malls in the region includelifestyle centersClay Terrace (2004) andHamilton Town Center (2008) to the north of Indianapolis inHamilton County; super-regional mallGreenwood Park (1967) to the south inJohnson County; and lifestyle center The Shops at Perry Crossing (2005) inHendricks County to the southwest of Indianapolis.
Former shopping malls includeCircle Centre (1995–2025) in downtown's Wholesale District,Eastgate (1957–2004), andLafayette Square (1968–2022).
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The city'shospitality industry has grown in importance in recent years due to an expanding convention business.[79][80] According to the city'sdestination marketing organization, Indianapolis receives 29.2 million visitors annually, generating $5.6 billion, and supporting 82,900 jobs.[81] The city's major hospitality facilities are clustered indowntown Indianapolis, including theIndiana Convention Center,Lucas Oil Stadium, and some 8,500 hotel rooms. Major annual conventions includeFDIC International, theNational FFA Organization Convention,Gen Con, and thePerformance Racing Industry Trade Show.[82][83][80]
In the 1970s, city officials initiatedpublic-private partnerships focused on developing Indianapolis as asports tourism destination. Since its founding in 1979, the Indiana Sports Corp has hosted more than 450 sporting events of national and international significance in Indianapolis.[84]Indianapolis Motor Speedway (IMS), located in the enclave ofSpeedway, is thehighest-capacity sports venue in the world. IMS hosts numerous motorsports events throughout the year, but is best known as the home of theIndianapolis 500, reputed as the world's largest single-day sporting event.[85] A 2023 report published byIndiana University found that the speedway supported 8,400 jobs and contributed more than $1 billion to the Indianapolis economy.[86] Based on 2023 attendance figures, the city's professional sports teams are among the area's most popular attractions. These include theIndiana Pacers of theNational Basketball Association (638,000), theIndianapolis Colts of theNational Football League (585,000), and theIndianapolis Indians ofTriple-AMinor League Baseball (557,000).[87]
Other popular attractions in the region by 2023 visitation[87] includeWhite River State Park (1.9 million),Horseshoe Indianapolis inShelbyville (1.6 million),Eagle Creek Park (1.3 million),Harrah's Hoosier Park Racing & Casino inAnderson (1.3 million), theChildren's Museum of Indianapolis (1.2 million),Fort Harrison State Park inLawrence (1.2 million),[88] theIndianapolis Zoo (1.1 million), theIndianapolis Motor Speedway (900,000), theIndiana State Fair (840,000),Newfields (626,000), andRuoff Music Center inNoblesville (620,000).[89]
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Allison Transmission designs and produces commercial duty automatic transmissions and hybrid propulsion systems. Its Indianapolis headquarters and manufacturing facilities employ 3,100.[49]Rolls-Royce North America, a subsidiary ofUnited Kingdom-basedRolls-Royce Holdings, dates its local presence to the establishment of theAllison Engine Company in 1915. Its Indianapolis Operations Center has a workforce of 4,000 in aircraft engine development and manufacturing.[90][49] Other major manufacturing employers in the Indianapolis metropolitan area includeAllegion,SMC Corporation,Nestlé,Knauf Insulation, andLinde plc.[49]
Indianapolis is typically considered part of theRust Belt, a region of theNortheastern andMidwestern U.S. beleaguered by industrial and population decline.[91] In 1990, manufacturing was the city's dominant sector, employing 23% of its workforce; by 2020, the sector had declined to be the city's sixth-largest following the loss of 37,800 manufacturing jobs, most during theGreat Recession.[31] In 2016,Carrier Corporationannounced the closure of its Indianapolis plant, moving 1,400 manufacturing jobs to Mexico.[92] Other notable former employers in the city's manufacturing sector have includedNavistar,P. R. Mallory and Company,Thomson Consumer Electronics, andWestern Electric.[93][94][95][96]
Once home to 60 automakers, Indianapolis rivaledDetroit as a center ofautomobile manufacturing and design in the early twentieth century.[97] Indianapolis was home to severalluxury car companies, includingDuesenberg,Marmon, andStutz Motor Company; however, the automakers did not survive theGreat Depression of the 1930s.[98] Detroit'sBig Three automakers maintained a presence in the city and continued to operate in various capacities until the 2000s:Ford Motor Company (1914–1942, 1956–2008),[99]Chrysler (1925–2005), andGeneral Motors (1930–2011).[98]
Former operations include:
According to real estate tracking firmCBRE Group, Indianapolis ranks among the fastest high-tech job growth areas in the U.S.[100][101] In 2022, theIndianapolis metropolitan area was home to some 2,275information technology firms that employed about 24,000. Major employers includeAngi,Genesys,Infosys,Salesforce, andTangoe.[102]
Indianapolis-basedExactTarget, a provider of digitalmarketing automation and analytics software services, was co-founded in 2000 by local entrepreneurs, Chris Baggot,Scott Dorsey, and Peter McCormick.[103] In 2013, the company was acquired by Salesforce for $2.5 billion.[104] Salesforce has the largest workforce of local tech firms, employing about 2,100 in Indianapolis.[105] In 2016, the company purchasednaming rights toSalesforce Tower in downtown Indianapolis, the tallest building in Indiana.[106]
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