Economy of South Tripura district is primarily based on agriculture, animal resource development and fisheries. Mainly paddy,  pine apple, pack fruit, banana, nuts, mango, etc are cultivated here. In this district fisheries are one of the main source of income. Many small & medium scale fish ponds are available in South Tripura district, which  provides  job to many people. In South Tripura district, Tea Gardens are also present; which also provides job to many people. Rubber plantation & Bamboo plantation is also another source of income in South Tripura.

70% of the workers are dependent on agriculture for their livelihood. Practice of Jhum cultivation (shifting cultivation) is still continued in many parts of the District by the tribals residing in the deeply forested hills. However, in recent times, due to the effects of the efforts of State Government and District Administration, like granting pattas to jhumias under RoFR Act, 2006, undertaking plantation works like horticulture, sericulture, etc., the jhum cultivation has decreased to a large extent in the District. The fertile valleys are mostly occupied by the non-tribals, mostly Bengalis.  30% of the households in the District are classified as Below Poverty Line(BPL).